What Do You Mean By PCD Pharma Franchise And Its Working?
Know about PCD Pharma Franchise and How it Works
Before we get into the details of PCD Pharma Franchise, first of all, let’s understand what a franchise is?
If we go by the definition, then a franchise is a term that defines the authorization given by a company to a person or another company to carry out a predefined set of activities.
The franchise concept works on the principles of liberty of work and time. In general, the franchise should work in the line with the principles and work ethics laid down by the company that permits it.
We see a lot of franchise businesses around nowadays and the concept of PCD Pharma Franchise (where the term PCD stands for Propaganda cum Distribution)) is also one of them.
How does a PCD Pharma Franchise work?
When a pharmaceutical company grants authorization to a person or a company to use the proprietary knowledge and products, brand names and other intellectual property within the predefined framework, then it is called PCD Pharma Franchise.
- The company gives either monopoly rights or it defines the terms and conditions that are agreed by both parties.
- The rights are given to the franchise owners to sell, market, distribute and promote the products and services offered by the pharmaceutical company.
- The franchise is allowed to run the promotional activities for doctors, appointment and authorization of distribution or channel network and so on.
- All these activities are done on behalf of the company, and it is ensured that there is no deviation to the company policies and business morals.
What are the concepts it is based on?
Since it is based on a business agreement between the supplier and the seller, it is very much important to keep profitability at the number one on the priority list.
The Franchise model defines the responsibilities. The supplier either produces or procures the product. The franchise promotes and sells the products.
All commercial aspects, e.g., promotional material, advertising strategy and share of profits are unambiguously defined in the franchise contract, and they are agreed upon by both parties
Typically, in a PCD Pharma franchise business the two parties are:
- Supplier: A pharmaceutical marketing company, manufacturing company, C&F (Cary and Forward) agent, wholesaler, distributor
- Seller: Distributor, sales professionals, agencies, retailers
Responsibilities of a supplier
- Investment in new product development and stocks
- Promotional activities
- Branding and advertising
Responsibilities of seller
- Market investment
- Doctor’s expense
- Sales person’s expenses
These are just a few indicative responsibilities. The actual list is pretty long, and it varies from a franchise model to another.
As far as the future of PCD Pharma Franchise model is concerned, it is pretty bright. With the increasing emphasize on cost, it comes out to be a profitable business model.
However, like any other dynamic business model, it is very much important to keep a close eye on the market development and business environment in PCD Pharma business as well.
Increasing emphasis on the adherence to policies, rules, and regulations keep the sellers and suppliers on their toes.
If you are looking for leading PCD pharma companies in India then Progressive Life Care is a top PCD pharma company in Ahmedabad located in Gujarat. We offer pharmaceutical franchise with extraordinary marketing support.
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