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Market Share: 27% Multi-National Domestic Abbott Laboratories Glaxosmithkline Pfizer
Market Share: 27% Multi-National Domestic Abbott Laboratories Glaxosmithkline Pfizer
Key International
Players
Abbott Laboratories
GlaxoSmithKline
Pfizer
Currently, Abbott
Laboratories leads the
market in therapies with
a 6.5% share.
With Sun Pharmas
acquiring Ranbaxy in
2014, market share of
Indian companies is
forecasted to increase to
77% from the current
73%
The combined entity is
estimated to replace
27%
Multinational
73%
Domestic
STRONG COMBINATION
Though they compete fiercely, Lupin Pharmaceuticals, Aurobindo Pharma, Zydus
Cadila, Orchid Chemicals and Pharmaceuticals and Ranbaxy Laboratories - each one a
giant, with annual revenues of nearly $8 billion among them - came together in July
2010 to share their best practices, in a bid to improve efficiency and bring down rising
operating costs
They called their alliance LAZOR - each letter representing a participating company's
name. In July 2011, Dr Reddy's Laboratories also joined them, changing the alliance's
acronym to LAZORR.
Examples of shared learning How Ranbaxy had been able to cut power bills at its
plant in Toansa Punjab, by buying power from Power Exchange India, Orchids boilers
using a system to reduce loss of steam thereby cutting water etc.
The areas of collaboration are now procurement, solvents, energy, safety and water,
with each platform having a separate head drawn from one of the six companies.
But this alliance is not a cartel formed to exploit the vendors. Vendors too benefit
when the alliance standardize requirements and they can know in advance combined
requirement of companies.