Marketing Report: Marketing Management of Kent Pharmaceutical Ltd.

This report provides a comprehensive marketing analysis of Kent Pharmaceutical Ltd., a UK-based pharmaceutical company. It begins with an executive summary outlining the company's market position, key competitors (Ranbaxy), and pricing strategy. The report then delves into internal and external audits, including a macro-environmental analysis covering political, economic, socio-cultural, legal, and technological factors impacting the business. A micro-environmental analysis assesses customers, competitors, suppliers, distributors, and the media. The internal marketing section examines sales revenue, market share, profit margins, costs, and marketing research data. The report also analyzes the marketing mix (product, place, price, and promotion), including the company's focus on generic medicines, distribution channels, premium pricing, and digital marketing strategies. The conclusion summarizes the key findings and potential areas for improvement. The report highlights the importance of understanding customer needs and adapting to the competitive landscape of the UK pharmaceutical market.

Running head: MANAGEMENT AND OPERATION
Marketing Management
Name of the Student:
Name of the University:
Author’s Note:

2MARKETING MANAGEMENT
Executive Summary
This report deals with the different aspects of the marketing to reveal the current market position
of the Kent Pharmaceutical Ltd. However, the environmental analysis has been carried out for
this organization to identify the customer needs and position of the competitors. However,
Ranbaxy is a major competitor of Kent Pharmacy. However, it has been received that Kent
Pharmacy follows the premium price for the high-quality drug. On the other hand, people want a
high quality product at a reasonable rate. This data has been found through the market research.
Kent Pharmaceutical Ltd has their own distribution channel. They manufacture, distribute and
deliver the product across the British, Irish and International market. A proper market research
by using the marketing mix element is helpful for this organization to understand the needs of the
current market. However, UK is a country of aging people thus; middle aged to old aged people
are the main target of such organization.

3MARKETING MANAGEMENT
Table of Contents
Introduction......................................................................................................................................4
Part 1: Task 1...................................................................................................................................4
Internal and external audit information.......................................................................................4
External audit...............................................................................................................................4
Macro environment analysis........................................................................................................4
Microenvironment analysis.........................................................................................................7
Internal marketing........................................................................................................................9
Part 1: Task 2.................................................................................................................................13
Part 2..............................................................................................................................................19
Scoping Proposal.......................................................................................................................19
Conclusion.....................................................................................................................................25
References......................................................................................................................................26
Appendix 1.....................................................................................................................................30

4MARKETING MANAGEMENT
Introduction
Marketing management refers to the organizational discipline, which is associated with
the marketing orientation, methods, and techniques to meet the organizational goal. However,
marketing management employs techniques from competitive strategy and the economics to
understand the industry context in which the company is operating1. It is important for a business
to identify a potential market segment. After identifying the potential market segment, the
organization needs to select their target audience for their particular product or service.
Marketing of a firm includes market research to understand the current market demand as well as
current market trend. This study deals with the marketing management in the context of Kent
Pharmaceuticals, which is a leading pharmacy in UK. However, this organization provides
quality service to the primary and secondary care sectors2. They provide product as respiratory
medicine, anti-infective, and analgesic. Their business includes manufacturing, sourcing, and
distribution of the service for the care sectors.
Part 1: Task 1
Internal and external audit information
External audit
Macro environment analysis
Political factors
1 Pasquier, Martial, and Jean-Patrick Villeneuve. Marketing management and communications in the public sector.
Routledge, 2017.
2 Kentpharm.Co.Uk. (2017). "Kent Pharmaceutical Ltd." http://www.kentpharm.co.uk/about-us.html.

5MARKETING MANAGEMENT
UK is a constitutional monarchy and follows the rules and regulation of the parliamentary
system. However, the political environment of this country is stable and fair. This country
provides a plenty of opportunity to the business industries those are operating within this country
3. Hence, such stable political environment will give Kent pharmacy to operate their business in
this country with lots of opportunities. On the other hand, the government is stable in this
country. However, hidden corruption and Brexit affect the political stability of the UK, which
leaves a little negative effect on the business sectors.
Economic factor
UK has a strong economic position as it has high GDP and diverse economy4. This
country has taken 5th position in the world economy. Diversified economy of UK gives favorable
condition to the investors. Hence, for Kent Pharmaceutical Ltd. this strong economy of UK will
be good opportunity to invest more in the business. Due to the recession in the year 2008 slow
recovery in the business is a major drawback in the UK economy.
Socio-cultural factors
Free public service that is the health service is very common in UK. However, UK
government focuses on the health improvement of the people as it is considered as the country of
the aging people. Hence, this health service in UK will lead Kent pharmacy to expand their
3 Gummesson, Evert, and Evert Gummesson. "From relationship marketing to total relationship marketing and
beyond." Journal of services marketing 31, no. 1 (2017): 16-19.
4 Rinallo, Diego, Harald Bathelt, and Francesca Golfetto. "Economic geography and industrial marketing views on
trade shows: Collective marketing and knowledge circulation." Industrial Marketing Management 61 (2017): 93-
103.

6MARKETING MANAGEMENT
business in the UK market. On the other hand, the dependency ratio is high in UK that is a major
drawback of the social environment of the UK 5.
Legal factors
According to the UK labor law, the individuals have to work 48 hours in a week and 11
hours rest within 24 hours is compulsory6. However, racism, gender discrimination, and
inequality should be reduced from the workplace. Hence, it is crucial for Kent pharmacy to
maintain the legal norms of the UK government to operate in this country without any legal
issues.
Technological factor
UK is technologically advanced as this country is enriched with the expertise in IT and
science7. Hence, by utilizing the modern technology Kent Pharmaceutical will be able to improve
their service and operation process. Despite this, the technological growth of the country is slow
in comparison to U.S.
Ethics and the ecological environment
UK government plays an important in developing the standard of the UK environment.
Hence, it is important for the Kent Pharmacy to maintain the environmental norms while
operating in the UK. However, it is crucial for this organization to take CSR activities8. This
5 Charter, Martin, ed. Greener marketing: A responsible approach to business. Routledge, 2017
6 Pasquier, Martial, and Jean-Patrick Villeneuve. Marketing management and communications in the public sector.
Routledge, 2017.
7 Brito, Taissa Leao De, and Nicholas Harkiolakis. "Influence of UK economic and market policies on a small wine
merchant." International Journal of Teaching and Case Studies 8, no. 1 (2017): 29-45.
8 Cortes, Edy, and Thierry Adatte. "Nested packaging for pharmaceutical products, and methods of distributing
pharmaceutical products using same." U.S. Patent Application 15/439,821, filed February 22, 2017.

7MARKETING MANAGEMENT
organization has adopted CSR activities as the integral part of their business to protect the
environment.
Microenvironment analysis
Customer/Market
The customer is a big part of the of the market analysis. However, for the development a
great customer focus strategy it is important for the pharmacy to give proper effort and manage
the resources9. Patients are the main customer group of pharmaceutical industry. In the context of
Kent Pharmacy, middle-aged to old aged people are their main target customers. UK is a country
of the old population thus; middle aged to old aged people are the main focus of such company.
Competitors
Ranbaxy and Ratiopharm are the major competitors of Kent pharmacy. However, these
organizations also provide similar products in the UK market10. However, the competitors of
Kent Pharmacy have adopted modern technology to bring improvement in their new products.
Huge competition in the market leads the pharmaceutical companies in UK towards the
production of a high quality product with low price. However, the competition level is high in
the UK pharmacy industry hence; the competitors of Kent Pharmacy try to cut the manufacturing
cost to enhance the profitability. Thus, it is important for this organization to reduce their
operation cost to compete in the market.
Suppliers
9 Lind, Johanna, Sofia Kälvemark Sporrong, Susanne Kaae, Jukka Rantanen, and Natalja Genina. "Social aspects of
additive manufacturing of pharmaceutical products." Expert opinion on drug delivery 14, no. 8 (2017): 927-936.
10 Kaplan, Warren, Nikolina Boskovic, Daniel Flanagan, Serafina Lalany, and Chia-Ying Lin. "Pharmaceutical
policy in countries with developing healthcare systems: synthesis of country case studies." In Pharmaceutical Policy
in Countries with Developing Healthcare Systems, pp. 405-430. Springer International Publishing, 2017.

8MARKETING MANAGEMENT
Ambe Ltd, Bio Pathica Ltd, and Euro Medical supplies are the major suppliers of Kent
Pharmaceutical Ltd. in UK. Such suppliers provide raw materials to Kent to manufacture the
drug. API or active pharmaceutical ingredients are supplied by Ambe. On the other hand, such
suppliers provide both synthetic and natural materials. Bio-Pathica provides raw materials for the
manufacturing. API is the main components of the drug11. Hence, the relationship with the
suppliers is good in the context of Kent pharmacy.
Distributors
Kent Pharmaceutical manufactures and distributes the generic drug across the UK. They
are the wholesaler of their own products. Hence, no external distributors are required for their
business. Distribution is a big process of the marketing. Hence, it is important for Kent Pharmacy
to use their distribution channel properly. However, this organization has own distribution
channel, which is very strong and distributes their drug in many healthcare sectors of UK.
Media and general public
Media and public play an important role in the development of the business of
Pharmaceutical industry12. It is important for Kent to establish a better public relation by using
the media. Social media is a crucial element, which allows the organization to establish a better
communication with the public. However, often-Pharmaceutical industry face problem in front
of media due to the healthcare issues. Hence, this is a big reason why the Pharmaceutical
11 Agyemang, Elaine, Lorna Bailey, and John Talbot. "Additional Risk Minimisation Measures for Medicinal
Products in the European Union: A Review of the Implementation and Effectiveness of Measures in the United
Kingdom by One Marketing Authorisation Holder." Pharmaceutical Medicine 31, no. 2 (2017): 101-112.
12 Huda, Kazi Nazmul. "Measuring the Impacts of Quality of Work Life Indicators on the Marketing
Representatives of Pharmaceutical Industries." Bangladesh Pharmaceutical Journal 20, no. 1 (2017): 46-53.

9MARKETING MANAGEMENT
industry left back from the media. On the other hand, it is important for Kent Pharmacy to
introduce their product through media advertisement in the public domain to get feedback from
them.
Internal marketing
Sales
Kent Pharmaceutical Ltd involves in the development, manufacturing, marketing,
distribution and sales of the generic pharmaceutical products across the Irish, British and the
international market. However, for any business industry, it is crucial to review their sales
revenue generation to understand their growth in the current market13. DCC has planned to
incorporate Kent into DCC group and they have a target to increase their revenue £150 million in
near future. Their total asset is £42.32 while their revenue generation is 69.20% in the year 2016.
Hence, this ensures good sales revenue for this organization14.
13 Mailankody, Sham, and Vinay Prasad. "Pharmaceutical Marketing for Rare Diseases: Regulating Drug Company
Promotion in an Era of Unprecedented Advertisement." JAMA(2017).
14 Kentpharm.Co.Uk. (2017). "Kent Pharmaceutical Ltd." http://www.kentpharm.co.uk/about-us.html.

10MARKETING MANAGEMENT
Figure 1: Sales Revenue generation of Kent Pharmacy
(Source: 15)
Market share
Kent has significant market share in the Irish, British and International market. In the
international market, they have expanded their market share in U.S, Australia, and China.
However, market expansion highlights the growth of a business16. In the context of Kent
Pharmacy, they have covered a good proportion in the UK and International market.
Profit margins
15 Kentpharm.Co.Uk. (2017). "Kent Pharmaceutical Ltd." http://www.kentpharm.co.uk/about-us.html.
16 Pilon, Francois, Francois Pilon, Elias Hadjielias, and Elias Hadjielias. "Strategic account management as a value
co-creation selling the model in the pharmaceutical industry." Journal of Business & Industrial Marketing 32, no. 2
(2017): 310-325.

11MARKETING MANAGEMENT
In the year 2014 Kent pharmacy had acquired £58m. This is added to their profitability17.
However, their profitability was doubled in this year in comparison to the previous year. In the
year 2013, they had obtained £32.5. Hence, from this financial data, it has been proved that their
profitability margin was good in the year 2014 than the year 201318. This ensures the good
performance level of this organization in the UK market. Due to the high-profit margin on Kent
Pharmacy, it was acquired by DCC healthcare business, which is a listed group, headquarter in
Ireland.
Costs
Kent Pharmaceutical Ltd. has been facing high cost in their business operation like the
cost of infrastructure management, employee management, and product management. However,
it is crucial for a business to cut the operation cost to increase the profitability in the business19.
Hence, for Kent Pharmacy it is crucial to reduce their high operation cost by managing each area
of the business properly.
Marketing research information
Marketing research information includes customer information, target market information
and competitor analysis20. However, it is important for the Kent Pharmaceutical Ltd to carry out
a proper market analysis to understand the customer base and the competitor's position. In the
17 de Wilde, S., D. Coppens, M. L. de Bruin, H. G. Leufkens, H. Guchelaar, J. Hoekman, and P. Meij. "133-
Decision-making on marketing authorization of Advanced Therapy Medicinal Products in the European
Union." Cytotherapy 19, no. 5 (2017): S85
18 Kentpharm.Co.Uk. (2017). "Kent Pharmaceutical Ltd." http://www.kentpharm.co.uk/about-us.html.
19 Burmann, Christoph, and Christopher Kanitz. "Brand Architecture within the Pharmaceutical Industry." In The
Customer is NOT Always Right? Marketing Orientationsin a Dynamic Business World, pp. 570-579. Springer,
Cham, 2017.
20 Balmer, John MT, John MT Balmer, Weifeng Chen, and Weifeng Chen. "Corporate heritage brands augmented
role identity and customer satisfaction." European Journal of Marketing 51, no. 9/10 (2017): 1510-1521.

12MARKETING MANAGEMENT
Context of Kent Ltd, they need to offer high-quality product at low price as it is the current
market demand. On the other hand, the base of the competitors is strong as they utilize the
technology to cut the operation cost. Hence, it is crucial for Kent Pharmacy to adopt modern
technology to reduce the operation cost.
Marketing mix
The product is a crucial part of any organization as the success of a business is
associated with its product features21. Kent Pharmacy offers generic medicines. They distribute
medicine for analgesics anti-infective, respiratory and cardiovascular problem. Such range of
products is helpful for their target market that middle aged to old aged people with a respiratory
disease and cardiovascular disease is very common in this generations. On the other hand, the
competitors of this organization also produce the substitutes of these products, which may bring
a big threat for this organization. The place is another important element of the marketing mix.
Kent Pharmacy sells their product in Britain and Ireland in UK. However, the competitors of
such organization also sell products in Britain, which may generate a huge competition.
Selection of proper pricing strategy is crucial for the Pharmacy22. However, Kent
Pharmaceutical Ltd follows premium pricing as they offer a high quality product. However, they
often provide a discount to their permanent customers, which makes them unique as their
competitors do not provide any discount. Business promotion can be done by using digital
21 Mailankody, Sham, and Vinay Prasad. "Pharmaceutical Marketing for Rare Diseases: Regulating Drug Company
Promotion in an Era of Unprecedented Advertisement." JAMA(2017).
22 Lind, Johanna, Sofia Kälvemark Sporrong, Susanne Kaae, Jukka Rantanen, and Natalja Genina. "Social aspects of
additive manufacturing of pharmaceutical products." Expert opinion on drug delivery 14, no. 8 (2017): 927-936