Which is the best option: PCD Franchise Pharma or Traditional Pharma Companies
Let’s start, there are two types of business models in the pharmaceutical industry, out of which PCD Franchise Pharma & Traditional Pharma Companies. Both these models are adopted by pharmaceutical companies, which are full of many business challenges and new beneficial opportunities. To make a business successful, a pharmaceutical company definitely takes help of one of these two models and this converts a company into a very successful company. It has been mentioned in great detail below which of these two models should be adopted and which model will bring quick success to the business. The differentiation between PCD Franchise Pharma or Traditional Pharma Companies models will help you decide which model is right for the success of your business–
PCD Pharma franchise company
In this business model which is most famous in India, a company decides the distributor who can sell the manufactured products of the company and promote its product. The parent company delivers its manufactured products to its clients through the distributor, in which the distributor does not need to invest in manufacturing and infrastructure. The distributor can sell the products manufactured by the parent company under the company’s brand name and can set the price as per its own requirement. Cardiac Diabetic PCD Pharma Franchise models involve working with pharmaceutical companies to distribute and sell their products. This business model benefits the franchise partner or distributor by making high profit on low investment.
Traditional Pharma Company
A traditional pharmaceutical company is a company that can do research, development and manufacture of medicines using chemical reactions. They have the power to bring the
medicines to the market. Some Cardiac Diabetic Franchise Company are traditional
pharmaceutical companies. These companies manufacture and deliver cardiac and diabetic products. They also grant marketing and distribution rights to franchise partners. Traditional Pharma companies invest the most in research and development so that new medicines can be developed and old medicines can be improved.
Differentiation of PCD Franchise Company or Traditional Pharma Company
Both business models have their own beneficial challenges and opportunities which the
pharmaceutical company uses to gain access to its company.
The difference between the two will be discussed in great detail below–
Requirement of Investment
• PCD Franchise
PCD franchise companies can make high profits even with low investment. There is no need for high investment for development of medicines nor high investment for manufacturing development.
• Traditional Pharma
Traditional Pharma Companies require high investments for the development of their drugs, for clinical trials, for manufacturing facilities, for regulatory approval, and for robust sales force.
Risk Factors
• PCD Franchise
Under this business model, only the focus has to be on distribution because the product is
already manufactured and approved by the parent company, hence there is no need for risk in it.
• Traditional Pharma
Traditional Pharma companies have high risk because the research and development of the product totally depends on the company and the success of the company depends on
investment and innovation.
Profit Margin
• PCD Franchise
The profit margin in a franchise company is set up limitedly by the parent company, The
franchise partners and distributors sell and promote the products manufactured by the parent company by setting up prices according to their own requirements.
• Traditional Pharma Company
Whenever a traditional pharmaceutical company makes a new medicine, there is always a
possibility of its success. But with this there is also a warning of some overhead and research
and development costs, which can reduce the margin if the product is unsuccessful.
Conclusion
The decision to decide between PCD Pharma Franchise and traditional Pharma companies depends on some factors: business goals, investment capability, risk appetite, and desired level of control.
PCD Franchise model is the perfect model for those who want to start a business with less
investment and less risk. On the other hand, traditional Pharma business is the perfect model for those who can chase hard work and innovate new medicines and develop old medicines.
