ABBOTT LABORATORIES

SWOT AnalysisBy- Pritam singh

MBA PM-06

Brief history

Founded in 1888 from the kitchen of Chicago Doctor, Wallace C. Abbott

One of oldest most successful pharmaceutical companies in the world

The company manufactures a number of nutritional and pharmaceutical products, laboratory diagnostics, pharmaceutical therapies and medical devices

Strength

Global Presence Innovation Leader in Industry Duphalac enema Tutaferon Over 100 Years Success And Experience Environmental Management & Image Reduce CO2 emission by 15% Reduce water intake by 50%

Strength

Diverse Product Line Specialized medicine and nutri

supplements for infants, children and adults

Nutritional Products E.g.- similac, pediasure, ensure and

nutripals Contributes approx. 16% of its annual

sales

Weakness

Upcoming Expiring Patent bioxin- 33%loss in sale depakote High Research Costs Inaugurated 2 R&D facilities in China and

Singapore Invested $3.7billion Recent Company Layoffs 6% of its workforce laid off in last two

years

Weakness

Declining Market Share EU pricing pressure Intensifying generic competition Limited Investor Confidence Fall in growth rate during 2011-12 21% to 10.9% Product Callbacks Similac powder in plastic container Refused by US FDA

Opportunity

Product Innovation Ensure- a meal replacement shake Treat obesity by suppressing appetite shift from acute to chronic Heart disease, stroke, diabetes etc Rural market 3% increase in sale over a 3 year period

2010-13 Empowered patient

Threat

Government policies DPCO 2013 affected Thyronorm, Obimet,

Epilex Aggressive Competition From Generics Depakote faced generic competition Prices up to 80%less than brand name Litigation cases against Ranbaxy Laboratories 22.5million’s Tricor lawsuit on royalty

issue

Abbott India Financial report 2013

Company outperform the Indian pharma market with 14.1% growth where the market grew by 10.1%Duphaston,Udiliv and Duphalac–together generate more than 250 Crores in revenue.

2011 2012 2014(15M

)

0

500

1000

1500

2000

2500

1510

1675

2345

Total revenue in cr.

revenue in cr

References

http://en.wikipedia.org/wiki/Abbott_Laboratories http://www.lawyersandsettlements.com/articles/

depakote/depakote-lawsuit-side-effects http://www.biojobblog.com/ http://www.drugpatentwatch.com/ http://www.worldpharmanews.com/abbott/874-

abbott-to-acquire-nutrition-businesses-expanding-presence-in-india>

http://abbottnutrition.com/about-us/about-abbott-nutrition>

http://www.drugs.com/manufacturer/abbott-laboratories-2.html>

Thank you