Where to produce pharmaceutical drugs to have different, effective products?Date: 25/ 02/2019
Differentiating products if achieved, will be a strategy that enables the company to achieve a higher rate of return than average, because it creates a firm position for the company to deal with the forces. the amount of competition, though in a different way than the strategy emphasizes cost. Differentiation creates a gap for competitors because of the trust of customers on product brands, which will lead to less volatility of prices. it also increases the rate of profitability and therefore blames the need to create a low cost. Customer confidence and the need for competitors must overcome the “unique” factor that has prevented the entry of new competitors. Differentiation creates a higher rate of return, with this high rate of profitability that can easily solve a supplier’s power problem, and obviously it also reduces the power of buyers, because they lack conditions for comparison and so prices are less volatile. Finally, those companies that have made the difference in products to gain customers’ trust will be in a better position than their competitors to face the different types of goods.