Tractor Drug Company’s expansion plan into Southeast Asia and west Asian markets

1. Marketing Management II
Marketing Plan
For
Tractor Drug Company’s expansion
plan into Southeast Asia and west
Asian markets
Presentation by(Group No 1): Gaurav Arora
Mohit Grewal
Ritu Chaudhary
Inamul Ahassan

2. Company Name:
Tractor Drugs
Current Headquarters:
New Delhi, India
Executive Summary:
o The Company was started in 2004 and now has expanded to the
whole of India.
o Through its recent Japanese and Hungarian collaborations,
Tractor Drugs has developed a specialized line of international
quality life-saving drugs.
o Tractor wanted to expand in Southeast Asia and west Asian
markets
o Tractor wanted to develop time-phased plan for market
penetration in Southeast and west Asia.

3. Current Scenario
Product Line of the Company: Pharmaceuticals
Products of the company: Total of 12 Products
In addition, the newly introduced life-saving drugs are:
Life.10 – Fights Kidney Stone
Can.21 – Fights Tuberculosis
Win.33 – Fights Skin Cancer

4. Situation Analysis
Long-Term goals: To expand and diversify the product line
and well as the product portfolio.
New products line would include – Nutrition, Personal care,
Baby Care, Animal Care.
Short-Term Goals: To look for expansion opportunities
abroad and also ensure that there is continuous product
Research & development, especially in the life-saving drug
category.
Focus of the company
Mission Statement: Promote good health with safeguarding
environmental interests in a sustainable ways in order to
provide people with a long and healthy life.

5. Customer Analysis
Areas of expansion:
• Southeast Asia (Philippines, Malaysia, Indonesia,
Singapore, Myanmar, Thailand, Vietnam)
• West Asia (Iran, Turkey, Egypt, Kuwait, Qatar, Saudi
Arabia, Syria, Yemen)
Key customer base:
All the hospitals, private clinics and other medical
service providers in these countries. Also, chemist
shops and other retail chains that can help us sell our
high quality and low cost products directly to the
consumer.

6. Competitor Analysis
Market Positioning
Our potential competitors are fully invested in the market.
They are generally private investors. There is no certain
monopoly of any firm over these areas but there are
certain country specific firms that have a dominating
market share in their respective country.
The need of our newly made drugs have been felt in these
areas as there is a huge increase in the number of cases of
diseases that these drugs cater to.
Hence, we need to position ourselves as a brand that not
only provides low prices-high quality healthcare products
but also life-saving drugs.

7. PEST Analysis
Political
There is now growing political focus and pressure on
healthcare authorities. This means that governments will be
looking for savings across the board. In addition to this,
could there be more harmonization of healthcare systems
across these countries.
Economic
• The global economic crisis still exists yet government
reports still show that the spend on healthcare per
capital continues to grow. The growth in homecare (as
seen in the Nutrition sector) demonstrates how nursing
services have moved to the private sector and have
become a key business offering.
• These economic pressures are seeing an increased
growth in strategic buying groups who are forcing down
prices.

8. Social / Culture
• The increasing aging population offers a range of
opportunities and threats to the pharmaceutical industry.
The trick will be to capitalize on the opportunities.
• Patients and home cares are becoming more informed.
Their expectations have changed and they have become
more demanding. Public activism has also increased
through the harnessing of new social networking
technologies.
Technological
• Technological advancements will create new business
prospects both in terms of new therapy systems and service
provisions. The online opportunities will see the growth in:
• Social Media for Healthcare.
• Customized Treatments.

9. SWOT Analysis
Advantages
• Cost competitiveness due to lower labor cost and
production cost
• Well established network of Laboratories and R & D
infrastructure for new drug discovery and development
• Access to pool of highly trained and skilled scientists,
both in India and abroad
Weaknesses
• Lack of resources to compete with MNCs for New Drug
Discovery Research and to commercialize molecules on
a worldwide basis
• Production of spurious and low quality drugs tarnishes
the image of industry at home and abroad

10. Opportunities
• Significant export potential to the developing as well as
developed countries
• India can be niche player in global pharmaceutical R &
D by developing world class infrastructure
• Increasing aging world population
• Growing awareness for health and increasing spending
on health
Threats
• Product patent regime poses serious challenges to
domestic industries unless it invests in R & D.
• Exports effort hampered by procedural hurdles in India
as well as non-tariff barriers imposed abroad.

11. Market Segmentation
• Hospitals & Healthcare Clinics – 65%
• Retail Medicine – 20%
• Direct Customer – 15%

12. Marketing Strategy Adopted
• Cause Marketing: Attaching a cause of helping
cancer patients by contributing a specific
percentage of sale per product for the treatment of
cancer patients.
• Viral Marketing: Starting a buzz about the newly
introduced drugs among its target audience.
• Augmented Marketing: We can provide additional
services like free health checkup vouchers along
with certain products.
• Social-Media: A mass-reach strategy by launching
a full-fledged social media campaign.
• Free Samples: Providing free samples of the
products to the desired customers

13. Four P’s of Marketing
Product
• Brand name: Tractor
• Warranty: 3 years from the date of manufacturing
• Packaging: Sealed and stored in effective
temperatures.
Packaging contains all the relevant details
regarding the product’s use and contents.

14. Price
• Pricing: General products are priced from Rs.20 to
Rs.350 INR.
• Discounts: An online website will provide 5%
discounts (subject to quantity restrictions) on all
healthcare products and a 2% discount will be
provided to the hospitals & other healthcare clinics.
Payment Terms: For bulk order by hospitals and
other such institutions a credit period of 1 month is
available but for other direct users or retailers on
supply payment is mandatory.

15. Place
• Distribution Channels: For the first one-year we are
planning to ship our products through an Indian shipping
company who has many warehouses in these countries
to store our products and make them readily available in
the market. If the success in the first year is above our
expectations then we might move forward and set up
our own warehouses or else extend their contract.
• Locations: All the major capital cities of the countries
listed above will become their hub for supply of our
products.
• Logistics & Supply Chain: We have had meetings with
transport agencies in all these counties and have a
readily available network of movement of goods from
one value addition activity to another.

16. Promotion
• Advertising: Through online media, direct sample
selling, flyers, poster, banners and word of mouth.
• Public Relations: Will use the help of media to
spread awareness about the new drugs.
Conclusion
We would like to introduce the product to the market
with the above given marketing plan. It’s a go from
the management.

17. THANK YOU