SWOT Analysis of Biogen Idec
A public limited company, Biogen Idec was originally formed in 2003. This was done by merging two leading companies in the same industries, thereby, the actual history of Biogen Idec dates back to a very long time. Since then, the success graph for the company has always remained high, as it quickly rose up to be one of the biggest companies in the industry which it operates that is biotechnology products. Cures and medicines for cancer, autoimmune disorders and neurological disorders are the prominent products of the company. The work force of the company is calculated to be around 5000 people, while the profit was $5.048 Billion for the year 2011. A brief summary of the strengths and weaknesses of the company is given in the upcoming paragraphs.
A company like Biogen Idec is rarely found. The industry, is though large, comprises of a very less amount of companies. Those numbered companies deals in different fields of biotechnology. The area which is being worked on by Biogen Idec can hardly be found in a dozen of the companies. This makes it more competitive and has helped it establish a good, strong and loyal customer base.
A company found just some years ago, is expected to take time to earn profits. However, with the high research and development and future planning, the company was able to generate a large amount of revenue, which fortunately, it could reinvest to be fully standardized and updated.
The company has partnered with Genentech for its marketing. If seen now, the company itself is putting no extra efforts for the marketing, instead, a separate unit, Genentech, has been given the full control. A high dependence on an external force, although trustworthy, can prove to be harmful for the reputation and working of the company.
As earlier stated, the company is still in its elementary stages, and is new to market. Although the hired people, the employees, are highly experienced, the company lacks a strengthened penetration into the virgin markets, and even into the existing ones.
It can also diversify into the production of other drugs related to biotechnology. For example, it could introduce biotech cosmetic drugs, for improvement of skin wrinkles, or other drugs like those which can prove to be energy supplements.
The foremost threat to the company is from new emerging companies. Nowadays, many people are getting in to the business and introducing apparently better and cheaper supplements. This could lead to a decrease in the sales of products of company. Anyhow, the company will need to strive hard to remain in the competition.