Essay - Alliance Strategy Analysing the Continuous and Intense Competition on the...

Alliance Strategy

Analysing the continuous and intense competition on the pharmaceutical market, most of ***** managers try to find alternative and better solutions to consolidate their position on the *****, but also ***** have the possibility to launch new products so*****er than other companies. This is one of the reasons for which they appeal to different management solutions. However, th***** is never done testing *****em, because otherwise a real imbalance could be caused, and even worse, they could lead to bankruptcy.

Through a strategic alliance with Excel Research, Century Pharmaceuticals wants ***** achieve a higher level ***** efficiency, speeding up of the regul*****tory approval process, bringing new drug *****rapies to market. Excel will ***** improve for Century Pharmaceuticals the process for its submissions ***** the Food ***** Drug Administration (FDA) for new drug products and also work on investigati*****al ***** drugs (IND) that are not ready for clinical trials but still are overseen by the *****.

In my opinion, Excel ***** answers perfectly to Century Pharmaceuticals *****ally alliance needs, accomplishing the main ***** on a "fast cycle" market, which are: "speed ***** development of new goods or service, speed up new market entry, share risky R&D expenses." The ***** result of this strategy is not that the company ***** develop very ***** new drugs and new technologies; th***** can be called a second*****ry positive effect. ***** main positive effect is that the company can adjust ***** time for the patent life of the product and especially for all the test which came after that one year period (the usual period ***** apply for a p*****tent), tests which bring a lot of costs for ***** company and which also obstruction the company to get earlier liquidities from getting its new *****s out on the *****. In terms of real time, for the period that the company must follow, until ***** product can get out ***** the market, we cannot speak only of a ye*****r and a half or a ye*****r ***** a few months, but for a ***** that can go up to some years, delays which can cost firms billions of dollars.

My answer to the first question *****, "yes," this case is a complementary strategic

Alliance. The answer for this ***** can ***** justified starting ***** the explanation of the term, "strategic **********," which comes from "cooperative strategy," which represents "a primary type of cooperative strategy in ***** firms combine some of ***** resources and capabilities to create a mutu*****l competitive advantage." Concerning the ***** of complementary strategic alliance, it is a horizontal one, because it ***** *****med "when partners who agree ***** combine their resources and skills to create value in the same stage of ***** ***** chain," it is focused "on long-***** product development and d*****tri*****ion opportunities" and "the partners may become competitors which requires a great deal of trust between the partners."

***** answer to the second question is "no," it's *****t a "***** response strategy" because ***** two ***** are not *****ly competitors, even if