Generoso Pharmaceutical & Chemical Inc. Essay

I. TIME CONTEXTAfter five years of combining the Central Luzon region, in 1978, David established a phoner called Generoso Pharmaceuticals and Chemicals or GPC with Elizabeth a business associate, Rafael Buenaventura who was a salesman like David. The team set up shop at the Generoso residence in Tarlac.II. VIEWPOINTThe Generoso pharmaceuticals and Chemicals Inc. is an attention where marketing the Medicine and Drugs etc. that owned by David with Elizabeth and Rafael. The problems of this industry are how to train compete to the other Pharmaceuticals industry, because those days on that point are many industries that shell out the same product, How to muddle and regress their coin and how low give be persist in in the Pharmaceuticals industry.III. STATEMENT OF THE PROBLEMSHow will GPC stay in competitor in pharmaceutical industry in the Philippines? How will generate investment trusts to continue with the project? What will be the effect of the generic visor if they wil l continue to do the project?IV. OBJECTIVESTo know and determine the litigate of Generoso Pharmaceuticals and Chemicals in order to stay in the business. To be able to generate funds for the implementation of the project. To know the advantages and disadvantages of implementation of the Generic Bill in Generoso Pharmaceuticals and Chemical, Inc.V. AREAS OF CONSIDERATION* Competitors, Potential Substitutes and Potential Entrants Potential competitors are not especial(a) to the firms considering offering exactly the same or differential products or serve substitutes to the existing products and services are also potential threat.* Buyers and SuppliersThe warring mooring of the business is influenced by the nature of its transactions with its buyers and suppliers.* Governmental Intervention / Generic Acts of 1988There are governmental institutions that as a component of the general environment, affect not only one industry. On the other hand, there are also some created specifical ly to serve or correct one industry or a few interrelated industries.* financesThe companion was now a going concern valued at P40 million. The proposed project would cost approximately P135 million. The need to hire a German expatriate to oversee the problem and the additional budget for the project. No Filipino chemist who specialize the technology of the project could qualify for GPC to remain competitiveVI. SWOT ANALYSIS* Strength* Liquidity of the Company* A considerable summate for raw materials* Conservative cash management policies* Tend to suit more on the situation of implementing Generic Bill* Weaknesses* Less fibre of their products* Expansions are too expensive* Lack of additional capital* unforesightful management* Opportunities* A good project* Contacts in the US who provides supply* A large area for expansion* Threats* Stability of the economy* unsound project because its too costly* Potential entrants of groups in the industryVII. ALTERNATIVE COURSES OF ACT IONS* GPC should accept the project and hire Qualified German ostracizeAdvantagesa. It will make the company stay in competitionb. high quality of products can be attained and offered in sink pricesc. Creditors(investors) will provide the needed budgetDisadvantagesa. It is too costly and risky* choose the project and GPC can borrow money from banks or other monetary intermediaries.Advantagesa. Early implementation of the projectb. Long term paymentsc. Can attract additional support for the project.Disadvantagesa. Generates interestb. The longer the period the debt is not paid, the high interests generates c. The borrower pledges some assets as collateral for the loan.* GPC should not accept the project and stay smallAdvantagesa. It will cost less(prenominal) and less risky for the companyDisadvantagesa. it will not make the company competitiveVIII. RECOMMEDATIONAs a Recommendation, we therefore recommend that the best alternative action is to accept the intent of the projec t for Generoso Pharmaceuticals & Chemicals, Inc. in order for them to stay in competition and reputation. The company can find investors or borrow from creditors or other financial intermediaries that will provide the needed budget. The company will hire see German chemists, who can make the company stays in the competition and can achieved high quality of products and be sold at lower prices, which will be more attracted to the buyers (who are majority are less fortunate Filipinos and cannot afford to buy medicine that much).IX. CONCLUSIONIn the conclusion, although costly and risky, the Generoso Pharmaceuticals and Chemicals, Inc.(GPC) can pursue the proposed budget even if they have insufficient fund to supervise the project. If they can find investors to invest then it will be a win-win situation for both of them if it the project will be a success. Especially now that having the Generic Bill will surely make them to have a fair competition with their competitors. It is also t heir advantage to introduce high quality of products because of the German expatriates qualifications and even get by it to a cheaper price.