Vision and Mission Statement of Bristol Myers Squibb
The vision of Bristol Myers Squibb is to be the prime pharmaceutical company that will modify the lives of patients via science. To achieve the vision, the company has some missions or goals that will assist them in the maintenance of the health and well-being of society. The mission of the company is to discover, develop and deliver medicines that are innovative and will help patients sustain long-term diseases (BMS 2022e). The values of this company in this context assist them to follow the path that will permit them to reach their mission to fulfil their vision. The values of the company are focused on the identity and vision of the company. Passion, urgency, inclusion, innovation, responsibility and integrity are the basics of the work of the company and these values help them to bring all people together. The passion of Bristol Myers Squibb is that it is committed to continuous learning and the outcome of this condition is delivering exceptional results to society. The company believes in innovation via pioneering solutions for patients (BMS 2022e). They put integrity, ethic, and quality before everything they do for their customers, patients and colleagues. To fulfil the vision and mission of the company, Bristol Myers Squibb includes diversity and creates an environment where all people can fully cooperate with each other. The company takes the responsibility to move forward with quality as patients are waiting for their services.
Bristol Myers Squibb Situation analysis
The third quarter revenue of Bristol Myers Squibb in 2022 was $11.2 billion. Delivers 8% Strong Revenue Growth from In-Line Products and New Product Portfolio; or 13% When Adjusted for Foreign Exchange Posts Third Quarter Earnings Per Share of $0.75 and Non-GAAP EPS of $1.99; Includes Net Increase of $0.02 Per Share for GAAP and Non-GAAP EPS Due to Acquired IPRD1 Charges and Licensing Income Posts third-quarter earnings per share of $0.75 and non-GAAP earnings per share of $1.99; includes a net increase of $0.02 per share for GAAP and non-GAAP EPS due to acquired IPRD1 charges and licensing income (BMS 2022b). Delivers Strong Revenue Growth of 8% from In-Line Products and New Product Portfolio; or 13% When Adjusted for Foreign Exchange. SotyktuTM is a TYK2 inhibitor that is First in Class for the treatment of moderate to severe Plaque Psoriasis.
Industry Structure and Economic Feature
The products of the company are majorly sold to the retail and wholesale trade. Certain products are sold to various manufacturers of the drug, medical professionals and hospitals. Bristol Myers Squibb is also responsible to improve the access of medicines to the patients for whom healthcare resources are inaccessible and unaffordable. From the report, it is found that the company invested approximately $4.8 billion to improve the research and development in the pharmaceutical aspect in 2017 (BMS 2022d). This investment was approximately 23.1% of the total pharmaceutical sales. BMS paid $546 billion in income taxes. The products of the company are available in every country in the world. The largest market of the company is found in the US, Europe, the Rest of the world, and others. According to the 2017 Sales by Region, the United States had the maximum proportion of availability of the products of the company (55%), Europe had 24%, the rest of the world had 18% and others had 3% of the total products.
Bristol Myers Squibb Strategic
Business Level Strategies
The business level strategies of Bristol Myers Squibb are a portfolio of new products which have significant potential for growth. The diverse product portfolio has the potential to deliver $10-$13 billion of risk-adjusted revenue in 2025. There will be greater than $25 billion in non-risk adjusted revenue in 2029 and there will be around $4 billion of non-risk adjusted revenue in 2029 for the products that will be launched by the company. The company has seven mid to late-stage assets that are focused on the disease areas to improve the outcome of the patients (BMS 2022c). Due to its solid external relationships, Bristol Myers Squibb is developing one of the most promising pipelines in the industry. To implement a consistent, balanced capital allocation strategy, Bristol Myers Squibb intends to use its $45–$50 billion in anticipated free cash flow between 2022 and 2024.
Corporate Level Strategies
Bristol Myers Squibb is spreading its guidance for the free flow of cash for an additional year. The financial guidance does not include the effect of potential future strategic acquisitions and divestitures and any specified items. The company will prioritise company growth and reinvest cash in its shareholders through the Company's dividend and share repurchase programme (BMS 2022c). The Company is still dedicated to keeping its debt low and solid investment grade rating.
Competitive analysis and advantage in the industry
Bristol Myers Squibb aims to improve the access to healthcare and equity in health globally via its effort and collaboration with the stakeholders. The initiatives of the company are the development of access strategy and oversight, collaboration and partnership for research and development, encouraging diversity in the clinical trial, building the healthcare capacity and optimization, and addressing the determinants of health that increase the health inequity in the society (BMS 2022f). BMS scales projects to supply the medicines and tests that are important for feasibility, health system capacity and beneficial use of the medicines. The most advantageous side of the company in the industry is improved access to healthcare resources via the swift process of registration, value-based pricing, support to the patient, donations of the products, voluntary licensing, and import directly.
SWOT analysis
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Strengths
The strengths of Bristol Myers Squibb are regular delivery of new medicines, delivering free medications to patients in the US who are financially deprived, engaging 44000 people in the world in the company indicates the strong global footprint, corporate strategy with the achievement of other companies, attribution of the string of new technologies, co commercialization with various companies (Fern Fort University 2022).
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Weaknesses
Weaknesses of BMS are strong dependence on working with third parties, the post-retirement plan of the company, and sudden drop in the sale of the 2 drugs like Plavix and Pravachol (Fern Fort University 2022).
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Opportunities
The opportunities of this company are addressing the tampering of the product, issues of diversion, counterfeiting and theft by an integrated team, arrangement of security technologies to make effective packaging, and emphasis on the partnership that will increase the accessibility of the products (Fern Fort University 2022).
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Threats
The threats of BMS are pressure on pricing, economic slowdown globally, tampering with the products and others (Fern Fort University 2022).
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PESTLE analysis
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Factors
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Description
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Political
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Political factors that have an impact on BMS are pressure of other non-government organizations, activist movements and other pressure and protest groups; risk of invasion of the military; corruption level in the healthcare sector, protection of the intellectual property, regulation of trade and Tariffs that are associated with healthcare, regulation of pricing, tax rates and incentives, industrial regulation of safety in the healthcare sector and others (EMBA Pro 2022a).
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Economical
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The economic factors that have impacts on Bristol Myers Squibb are an increased rate of inflation in the economy of the US, the economic cycle of the US, moderate to a high level of workforce in the healthcare sector in the US, volatile rate of exchange, and consumer disposable income (EMBA Pro 2022a).
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Social
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Societal norms and hierarchy, increased liberalization of attitudes towards health and safety, and rapidly growing social and traditional media will improve the advantage of the company in the industry (EMBA Pro 2022a).
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Technological
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Technological factors that have effects on BMS are greater technological innovation and investment at both the micro and macro levels in the field of research and development (EMBA Pro 2022a).
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Legal
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The legal factors are health and safety norms of Bristol Myers Squibb in the US, the law of employment, legal protection of intellectual properties and others (EMBA Pro 2022a).
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Environmental
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Management of waste in the urban areas, environmental norms of the country, and renewable technology are the environmental factors that shape the business standard of BMS (EMBA Pro 2022a).
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Target Market Analysis of Bristol Myers Squibb
Demographic Characteristics of the Market:
Low- and middle-income countries
Psychological Characteristics of the Market:
Asking for high-quality medicines that will address the unmet medical needs of patients with serious diseases.
Behaviors of the Target Market:
The mission of the company is to discover, develop and deliver medicines that are innovative and will help patients sustain long-term diseases
Strategies of the Appealing Market:
It is the global biopharmaceutical business. The objective of the company is to create and deliver patients with medicines that will treat long-term disorders.
Marketing Mix of Bristol Myers Squibb
Product Strategy:
The product strategy is the production of prescription drugs and biologics that will include various long-term disorders.
Pricing Strategy:
The pricing strategy of Bristol Myers Squibb are to improve the accessibility and affordability of the products that will increase the health and well-being of the people who need them.
Promotional Plan:
The promotional plan of BMS is social media marketing, influencer marketing, E-commerce strategies, mobile apps and others. BMS has the maximum number of followers on LinkedIn (BMS 2022f). Here they post product-related promotional content and informational content that will prevent and decrease the complications of various diseases. On the official website of BMS, the clients can select the products. Bristol Myers Squibb also has a mobile app that will improve the accessibility of the products to consumers.
Bristol Myers Squibb competitive analysis
4p’s comparison with the competitor:
It will explain the set of activities that BMS uses to improve the strategies of marketing. The outcome of this condition is the development of a differential positioning in the marketplace of the company.
Product:
Squibb Bristol can provide value to its customers in a variety of ways, including through financing plans for the purchase of the products, pre-purchase priming and education from the sales staff, quality-assuring brand name, installation and repair services, word-of-mouth recommendations, physical product, ease of availability, point of sale equity, etc (EMBA Pro 2022b).
Price:
During pricing, Bristol Myers Squibb considers various strategies like cost base pricing where the company put a markup based on profit upon the cost that takes to produce the product. Customers’ perceptions of values are the basis of value-based pricing. During pricing, BMS focuses on innovative products and high brand awareness.
Place:
Distribution and channels of marketing are important to meet the vision of the company. The outcome is delivering customers information regarding the products, accessibility of the products, and sales services.
Promotion:
BMS uses all the communication tools like advertising, personal selling, direct marketing, sales promotion and public relations to improve communication with the customers (Fern Fort University 2022).
Strength comparison with the competitor:
The company provides new medications to consumers more effectively than others. They deliver free medications to patients who are financially poor and need support to maintain a healthy life. Various co-development and co-commercialization strategies are there to improve the image of the company.
Weaknesses in comparison with the competitor:
Poor company layoffs and post-retirement plan.
Organization’s competitive advantage:
The advantages are security technology that is used for packaging, engagement of the integrated team, and improved access to products.
Key success factors
The factors that assist the company in its achievement are hiring and onboarding, culture and commitment, policies and compliance, opportunity and advancement, support and retention and others (BMS 2022a).
Problems and issues in Bristol Myers Squibb’s organization
The future of Bristol-Myers has come under fire for relying too much on a small number of medications. In the first quarter of 2017, roughly 45% of its sales came from Opdivo and Eliquis. The business was accused of FDA breaches and misleading advertising during the 2000s (BMS 2022g). Additionally, BMS had to cope with legal issues with Byetta and Bydureon, two of its highly profitable diabetes treatments.
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