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  • March 1994 (Revised March 1995)
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Astra/Merck Group

By: Frank V. Cespedes and Marie Bell
  • Format:Print
  • | Pages:21
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Abstract

Astra/Merck (A/M), originally a joint venture of AB Astra and Merck & Co., is preparing to be an independent company in 1993. Since the company does not engage in basic research and development of drugs, it is essentially a distribution organization. Fundamental to A/M's strategy is a new approach to the marketing of prescription drugs. The case outlines this approach, developments in the pharmaceuticals industry, and issues raised by A/M's attempts to implement a new marketing process in an industry where promotion-oriented "detailing" has dominated distribution practices.

Keywords

Cost vs Benefits; Marketing Strategy; Distribution; Performance Evaluation; Research and Development; Risk and Uncertainty; Sales; Competitive Strategy; Pharmaceutical Industry

Citation

Cespedes, Frank V., and Marie Bell. "Astra/Merck Group." Harvard Business School Case 594-045, March 1994. (Revised March 1995.)
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About The Author

Frank V. Cespedes

Entrepreneurial Management
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More from the Authors
  • Belden and Digital Transformation: From Product Sales to Solutions Sales By: Frank V. Cespedes and Amy Klopfenstein
  • Using Simulations to Upskill Employees By: Frank V. Cespedes, Trond Aas, Alex Hunt and Huw Newton-Hill
  • Aphro Beverages By: Frank V. Cespedes and Amram Migdal
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