Difficulties Faced by Pharma Franchise Companies – PharmaBizConnect

Difficulties Faced by Pharma Franchise Companies PCD Pharma & Pharma Franchise Companies are those Pharma Marketing Companies those who Manufacturer their own brands from Third Party Pharma Contract Manufacturer and then sells them to PCD Pharma distributors on monopoly basis all across the country. This is a new business model which has gained popularity over the period of last 10 years.

Any person or company who is willing to start new in this business should know about the difficulties faced by PCD Pharma & Pharma Franchisee Companies. My objective is not to deter anyone in entering this field which I repeat is an excellent time-tested business model but to make the person aware of what he can expect while he is entering this business model.

In the back side of the PCD Pharma & Pharma Franchise Company is Third Party Contract Manufacturer who produces the medicines for the company in their own trade name and on the front side are PCD Pharma Distributors who sell these products, on the front side the issues are that the company doesn’t get the goods in time thereby their inventory level and supply chain is disturbed and if the supply chain is disturbed the impact is negative hence this factor has to be kept in mind.

Pharma Manufacturer at time compromises on the quality and packing of the products which comes to their notice when it's too late, which also negatively affects their market.

Disturbance in the Payment plan is also a common problem, if you do business in credit then if the cash flow is disturbed then it will affect the entire chain hence do business as far as possible on the advance at least for some time ill the time you are able to identify and develop trust on your clients.

As the Raw material cost these days are fluctuating hence product cost keeps on varying and changing your price list, again and again, is not a good strategy but one needs to keep the balance as this is an unavoidable situation.

On the front side, the issues are that you at times get not so effective PCD Pharma Distributors those who are not fully involved in the business this results in blocking its potential area as the business is on a monopoly basis. Replacing a party is always cumbersome.

Cash flow gets disturbed if the business in on credit which will further disturb the payment schedule resulting in shortages and not on time production, so as far as possible do business on advance.

PCD Pharma Distributors have become quite aware of their importance hence they negotiate the prices effectively thereby the margins have dropped but this is part of being a competitive industry so you have to play as per the market trends.

If you are seriously looking forward to expanding your business then I recommend you to visit www.pharmabizconnect.com wherein you can use the services of this platform and get yourself visible to Pharma space and invite enquiries or get in touch with a quality Pharma Contract Manufacturer.