209 Main Qs Pharmaceutical Industry Landscape global market conditions Outlines current overall conditions from a macroeconomic perspective Is the economy in a boom or bust phase? Describe general market sentiment. What is the GDP growth rate? How high is the unemployment rate? • Global recession • Negative GDP growth in Europe, Japan, and the United States • Slower growth rates in China and India • Uncertainty as to when recovery will occur capital markets Describes current capital market conditions as they relate to your capital needs What is the state of the capital markets? How easy is it to obtain funding in your particular market? Is seed capital, venture capital, public funding, market capital, or credit readily available? How costly is it to procure funds? • Tight capital markets • Credit availability restricted due to banking crisis • Little venture capital available • Risk capital availability extremely limited commodities and other resources Highlights current prices and price trends for resources required for your business model Describe the current status of markets for commodi- ties and other resources essential to your business (e.g. oil prices and labor costs). How easy is it to obtain the resources needed to execute your business model (e.g. attract prime talent)? How costly are they? Where are prices headed? • Fierce “battles” for prime talent • Employees seek to join pharmaceutical companies with positive public image • Commodity prices rising from recent lows • Demand for natural resources likely to pick up with economic recovery • Oil prices continue to fl uctuate economic infrastructure Describes the economic infrastructure of the market in which your business operates How good is the (public) infrastructure in your market? How would you characterize transportation, trade, school quality, and access to suppliers and customers? How high are individual and corporate taxes? How good are public services for organizations? How would you rate the quality of life? • Specifi c to the region in which a company operates does the economic infrastructure adequately support key activities? does the infrastruc- ture and trade envi- ronment adequately support channels? how will local and national taxes affect the business model? do universities and other educational institutions furnish a suffi cient amount of qualifi ed talent? VP CR CH CS KP KA KR R$ C$ • Specifi c to the region in which a company operates bmgen_final.indd 209 6/15/10 5:44 PM