Cipla: Capturing the Global AIDS Drugs Market
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
In 2003, Cipla was one of India's top five pharmaceutical manufacturers, the others being Wockhardt, Ranbaxy, Dr. Reddy's and Nicholas Piramal. Cipla recorded sales of Rs. 15,990.04 million and a net income of Rs 2477.44 million. Over the years, the company had developed strong research and marketing capabilities. Cipla had enjoyed an average annual growth rate of 30.3% from 1999 through 2002, at a time when multinational pharmaceutical companies had grown at only 1%. Although Cipla's primary market was India, the company sold its products worldwide. Cipla's line of more than 400 drugs, included anti-asthmatic, anti-cancer, anti-inflammatory, anti-depressant and anti-AIDS medications.
The subsequent generations of the Hamied family had upheld this tradition. Cipla's Chest Research Foundation was dedicated to research in asthma, Chronic obstructive pulmonary disease (COPD), allergic airways diseases and other respiratory ailments. The Foundation conducted clinical research, bioequivalence studies and CME (continuing medical education) programmes for the medical profession. The Cipla Foundation's Palliative Care Centre for cancer patients in Pune provided comfort and solace to over 2800 terminally ill patients.
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