Evaluating the Financial Performance Through ‘Consumer Centric Decision’ Approach in Pharmaceutical Companies of Bangladesh: a Business Planning Perspective

Md Mostafizur Rahman and Mahmud Uz Zaman
Additional contact information
Md Mostafizur Rahman: PhD student, Department of Sociology, Macquarie University, NSW, Australia

European Journal of Economics and Business Studies Articles, 2017, vol. 3

Abstract: Pharmaceuticals agglomerations consistently use their brand image and versatile product portfolios to consolidate their position in the financial sector, which is evident in their continuous profit making and expansion in market share. This paper explores the short-term and long-term investment attractiveness through ‘consumer centric decision’ approach in two selected pharmaceutical companies, Renata Limited and Orion Pharma Limited, of Bangladesh over the last three years’ period. This research adopts a systematic approach which primarily addresses the various concerns of investors to illustrate the decision-making process of the existing and future investors. Using primarily domestic transaction data, this study explores how the leading pharmaceuticals companies of Bangladesh effectively use the wide array of drug portfolios mix with appropriate branding techniques to increase their financial profit and market share simultaneously. Both SWOT analysis and Porters Five Forces Model explore the business analysis of Renata Limited in compare to Orion Pharma Limited that provides a conclusion regarding investors’ decision to invest in Renata Limited. Considering the financial analysis, Renata’s financial liquidity is not very satisfactory and could have been improved further if management is prudent on financial strategy settings. Findings of the business analysis indicate that Renata Limited would be a good investment choice for existing and prospective shareholders based on its opportunities for long term and short term growth and further expansion in developing the market. The results suggest that even lower liquidity coupled with higher interest borrowings can be balanced by posing positive picture to the public shareholders by returning the positive dividend to them.

Keywords: Financial performance; ‘Consumer Centric Decision’ approach; Business Planning (search for similar items in EconPapers)
Date: 2017
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://brucol.be/index.php/ejes/article/view/5391 (text/html)
https://brucol.be/files/articles/ejes_v3_i3_17/Mostafizur.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eur:ejesjr:170

DOI: 10.26417/ejes.v9i1.p168-183

Access Statistics for this article

More articles in European Journal of Economics and Business Studies Articles from Revistia Research and Publishing
Bibliographic data for series maintained by Revistia Research and Publishing ().