Week 1
Why have you classified it as a family business?
In the the literature, some authors define family business based on family ownership. In such cases, much attention is given to the level of influence of one or more families on both ownership and management (Ferrero, 1987; Corbetta, 2010). Similarly my family business was founded by my grandfather and his brothers and now is highly influenced at all levels by their respective offsprings.
History: why was it brought into existence?
The Indian pharmaceutical industry is the world's 3rd largest by volume and 14th largest in terms of value. Low cost of production and R&D boosts efficiency of Indian pharma companies, leading to competitive exports. As it was a highly competitive but a profitable sector my grandfather wanted to bridge the gap between highly expensive drugs and providing them to the consumers at a cheaper price.
What advantages and disadvantages does it present today to the family business?
Pharmaceutical sector is most profitable and growing business sector of India. There are various business opportunities available to start in this sector. There will always be a need for such an industry and even more due to the large population of my country. However, there is lack of a stable pricing and policy environment due to challenges created by unexpected and frequent domestic pricing policy changes in India. Additionally, there is a lack of capabilities too in the innovation space for proper and transparent clinical trials. India is rich in its manpower and talent.