Commoditization in chemicals: Time for a marketing and sales response

JOCHEN BÖRINGER | December 15, 2016

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Chemical companies are facing a progressively harsher environment as growing segments of the industry are becoming increasingly commoditized. Companies have tried hard to reduce operating costs to help offset this trend, but they have paid less attention to marketing and sales, where expenses have continued to rise. Many companies’ commercial operating models are ripe for a rethinking that could help maintain or improve margins. However, this is not a matter that the marketing-and-sales department can fix. It is a strategic issue where company leadership needs to intervene, but taking steps in this direction are proving difficult for many enterprises. Drawing on our experience in the industry, we offer this article as a thought starter to help chemical company leaders get moving.

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PharmaVentures

PharmaVentures is a leading advisory firm in specialising in deals and alliances. The company largely focuses on M&A and Licensing mandates. With over 24 years of experience, PharmaVentures is trusted as a sell-side or buy-side advisor by a wide range of life sciences companies that include both large blue-chip pharmaceutical companies as well as mid-sized pharmaceutical companies, biotech/medtech companies, other life science players and private equity firms. In March 2016, 3Legs Resources appointed PharmaVentures as an adviser on the acquisition of SalvaRx, a company working in immuno-oncology. In February 2016, PharmaVentures acted as adviser to Transgene on the sale of its biopharmaceutical manufacturing unit in Strasbourg, France, to the US company Advanced Bioscience Laboratories (ABL), Inc.

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