Dr. Reddy’s Laboratories: Realizing An Ambitious Vision Harvard Case Solution & Analysis

IMD-3-2117 © 2009
Chakravarthy, Bala; Coughlan, Sophie

This case explains the obstacles that Dr. Reddy's Laboratories, the 2nd biggest pharmaceutical business in India in 2009, dealt with in making its vision (of ending up being the very first discovery-led worldwide pharmaceutical business from India-- "the Merck or Pfizer of India") a truth. The business had a worldwide existence and India incomes represented just 16 % of the overall. The business has actually released 4 brand-new development companies: (1) the polypill job that looks for to integrate tested generics in a single tablet to offer more low and reliable expense treatments for persistent conditions like cardiovascular condition (CVD), anxiety and osteoarthritis; (2) a specialized dermatology company in the United States; (3) high-margin (and high-risk) drug discovery, with 5 New Chemical Entities in the pipeline as of 2009; and (4) biologics, an amazing and fastgrowing section of the pharmaceuticals market.

The case likewise goes over how the business's CEO, GV Prasad, has actually reorganized the company to assist understand its vision and has actually looked for to bring in and keep the brand-new kind of skill that would be required in this effort. Third, the case provides an abundant background for talking about how business ought to handle the threats included in industrial renewal. Should Dr. Reddy's focus on exactly what it is great at, i.e. generics and relevant items and services; or should it venture into the higher-risk however higher-margin discovery-led company?

Subjects: Leading Indian pharmaceuticals company; Generics; Healthcare; Pharmaceutical business model; Patent challenges; Custom pharmaceutical business; Branded formulations; Specialty generics; Polypill; Biologics; Corporate renewal; Global organization; Talent management; India
Settings: Hyderabad; India; Pharmaceuticals; $1.4 billion in 2009 revenues; 2003 - 2009

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