Strategic Management and Sustainability

STRATEGIC
MANAGEMENT AND
SUSTAINABILITY

Table of Contents
INTRODUCTION...........................................................................................................................3
Main Body.......................................................................................................................................3
Evaluate with evidence the UK and global pharmaceutical industry. Use related frameworks
to analyse industry and sector critically.................................................................................3
Evaluate with evidence the competitive environment of AstraZeneca..................................5
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
With the rapid expansion of business firms in a global market it is becoming essential to
conduct an operational activities in such a way which have a less impact over environment.
Numerous organisation from different sectors such as food and beverages, auto-mobile,
technology firms, health care, military, agriculture are contributing equally towards sustainability
development goals. Sustainability management is defined as the practice of managing the
operational activities of an business which have a deteriorating impact on people, planet and
profit with the objective of future prosperity (Tsalis, and et. al., 2020). Business forms numerous
policies and procedures for executing operational activities which are less harmful to the
environment and are done in a socially accepted manner. Furthermore, Sustainability Strategic
Management is concerned with formulation and implementation of business strategies which
guide the efforts of a business in a economically competitive way, that are balance with nature
cycle, are legally and ethically accepted. AstraZeneca Plc is a pharmaceutical and biotechnology
firm, founded in the year 1999 through merger of Swedish Astra AB and British Zeneca Group,
headquartered at Cambridge, England. The report covers various external factors which affect
performance of AstraZeneca due to the pandemic Covid-19.
Main Body
Evaluate with evidence the UK and global pharmaceutical industry. Use related frameworks to
analyse industry and sector critically
Healthcare industry in UK and across the globe have changed and developed significantly
with an objective to prevent and cure from the infectious diseases affecting mental and physical
state of an human beings. With the massive and detailed research methodology have enabled the
pharmaceutical companies to come up with a affordable and efficient treatment methods to the
common masses so as to promote healthy and safe life (Danso and et. al., 2019). Due to the
sudden and dramatic emergence of Covid-19 have obliged and encouraged pharma companies to
conduct a detailed extensive research with the purpose of providing effective treatments,
therapies, medicines to cure and a vaccine to prevent from the disease. AstraZeneca Plc, a
Swedish-British multinational pharmaceutical and biotechnology company have responded
actively to the pandemic and have developed a vaccine which results to be 95% effective. Since
its inception, the company have made a significant growth in a health care industry and is

offering wide range of products to the disease majorly in the areas like cardiovascular,
oncology,infection, neuroscience, respiratory and inflammation. When Covid-19 emerged,
AstraZeneca announced to donate PPE kit and approximately 9 million masks to the common
people with an objective to fight and mitigating the impact of Covid-19 in a world.
Industry five forces of Global pharmaceutical industry :
Pharmaceutical industry is one of the largest and fastest growing industry generating
huge amount of sales revenue across globe, out of which majorly comes from United States of
America (Meresa, 2019). Need to address the health issue numerous companies are emerging
with new and innovative ideas due to the high growth and profit earning potential from a pharma
sector. Porter's five forces is described below to understand competitive position : Threat of New Entrants : Due to the high growth and profit earning potential have
attracted many to come up with a new and innovative idea in a pharmaceutical sectors
addressing the infectious disease with an aim to provide safe and healthy environment.
However, to enter into a pharma sector an intense research is required which involves
huge amount of cost. Giant and well established pharma firms have a less threat from the
new emerging enterprises and can get an opportunity to buy these firm when decide to
opt for exit during the initial stage of product development. Bargaining power of suppliers : Raw materials required for manufacturing a drug are the
chemical and other liquid substance that can be acquired from many sources (Stahl and
et. al., 2020). Therefore, suppliers in pharmaceutical industry does not hold a dominant
position over drug manufacturers. Additionally, various equipments, tools, techniques
and machinery required by drug manufacturer are even available from many sources thus
making a bargaining power of supplier less. Bargaining power of buyers : Among the other sectors, pharma is the only sector which
have a high bargaining power as compared to the customers. Medical patients have a lack
of bargaining power as concern for the health and health issue are at utmost priority than
anything else. However physicians, drug prescriber, and chemist are ethically not allowed
to make profit from the sale of drug. On the other hand, insurer, exercise a little power
over drug manufacture related with the price, they can deny to pay the amount if the
medicines seems to be overpriced (Hou, Wang and Xin, 2019).