The Pfizer business model is centered around discovering, developing, manufacturing, marketing, selling, and distributing biopharmaceutical products around the world. It has garnered attention in the pharmaceutical industry because of its forward-thinking marketing and product development approach.
Pfizer is a multinational pharmaceutical and biotechnology company that specializes in manufacturing drugs and vaccines that provide wellness or alleviate illnesses in the fields of immunology, oncology, cardiology, endocrinology, and neurology.
As one of the largest global biomedical and pharmaceutical corporations, Pfizer is dedicated to advancing medicine to promote well-being and provide prevention and treatment for some of the most dreaded diseases that plague humans.
Before diving into the specifics of Pfizer’s business model, including its revenue streams, customer segments, and value propositions, let’s briefly examine Pfizer’s history and who owns it to understand how Pfizer has become a leader in the pharmaceutical industry, from its humble beginnings in New York City to its current status as a global corporation.
Contents
Pfizer is one of the world’s leading pharmaceutical companies, with a long and storied history dating back over 170 years. The company was founded in 1849 by Charles Pfizer and Charles F. Erhart, two German immigrants who initially produced chemical compounds in a rented building in Brooklyn, New York. Despite financial setbacks and competition from larger, more established companies, Pfizer became a leader in the pharmaceutical industry in the early 1900s
In 1900, William H. Erhart, son of Charles Erhart, joined the company and became its vice president. He then later served as Chairman of the Board from 1929 to 1940, and under his leadership, Pfizer continued to expand its product line and increase its manufacturing capabilities.
During World War II, Pfizer produced penicillin, a life-saving antibiotic that helped save countless lives on the battlefield. After the war, Pfizer focused on developing new antibiotics and other medicines to treat various conditions.
Pfizer, which had then been a company in a redbrick building, has since focused on topping the charts and making a name for itself in the health sector.
In 1919, a doctor named James Curie, with the help of his assistant, Jasper Kane, found a means of producing citric acid from sugar through mold fermentation. This massive production made Pfizer independent of European citrus growers. In 1924, Pfizer celebrated a milestone of 75 years of pharmaceutical proficiency, with 306 workers employed in the Brooklyn plant at the time.
In 1936, a Pfizer employee, Dr. Richard Pasternack, created a means of producing ascorbic acid (vitamin C) without the usual fermentation process. Pfizer soon became the world’s leading manufacturer of vitamin C, and they rapidly expanded and soon engaged in vitamin B2 and B12 production.
In 1950, Pfizer expanded their production to include antibiotics like Terramycin, which treated a wide range of infections. That served as a turning point for the company after it produced penicillin.
From 1951 to 1999, Pfizer continued to grow and diversify in the post-war years. The company introduced many new products, like Vibramycin, Minipress, Feldene, Glucotorol, Unasyn, Procardia, and Viagra, which all quickly became bestsellers.
Back in 2000, Pfizer and Warner-Lambert joined forces to form a powerhouse in the pharmaceutical industry, propelling the newly-formed Pfizer to become the world’s fastest-growing major pharmaceutical company. The company pushed the boundaries of innovation and growth, introducing groundbreaking products like Lyrica, Sutent, and Selzentry in the years that followed.
Pfizer’s acquisition of Wyeth in 2009 marked a turning point for the company, as it became a leader in a wide range of products and therapies that have touched the lives of countless patients and consumers worldwide.
In 2013, Pfizer announced an ambitious plan to divide the company into two publicly traded entities, one focused on developing cutting-edge drugs and the other on establishing products. As part of this restructuring, Pfizer spun off its animal health business, Zoetis, into a separate publicly traded company.
The company’s growth continued in 2014, with Pfizer acquiring Baxter International Inc.’s portfolio of marketed vaccines, worth $635 million, and a portion of Baxter’s facility in Orth, Austria, where these vaccines are manufactured. The acquisition of Hospira in 2015 added a growing revenue stream and a platform for growth for Pfizer’s Global Established Pharmaceuticals (GEP) business.
Pfizer’s collaboration with IBM Watson for drug discovery in 2016 was also a significant milestone in the company’s journey toward advancing research in immuno-oncology.
In 2017, Pfizer’s partnership with Corning Incorporated introduced Corning Valor Glass, a revolutionary pharmaceutical glass packaging solution that modernized pharmaceutical packaging and improved drug safety.
The COVID-19 pandemic in 2020-2021 presented unprecedented challenges to the world, but Pfizer rose to the occasion, leading the way in developing a vaccine and treatment for the virus. The company committed to lighting-speed manufacturing to expand vaccine and treatment access to people around the world, solidifying its position as a global leader in healthcare.
In 2021, as Pfizer prepared to celebrate its 172nd anniversary, the company outshone its competitors, thanks to its pivotal role in fighting the pandemic by producing the COVID-19 vaccine. In 2022, Pfizer acquired several companies, including Arena Pharmaceuticals, a clinical-stage company that’s developing potential therapies for treating several immune-mediated inflammatory diseases.
Throughout its long and illustrious history, Pfizer has invested heavily in research and development, and its efforts have borne fruit with the introduction of several new products and therapies into the market. The company has also collaborated with numerous organizations and companies, forging partnerships that have advanced healthcare innovation and improved the lives of countless individuals.
Charles Pfizer and Charles Erhart founded Pfizer, which is currently owned and led by the chief executive officer (CEO), Albert Bourla, who took the reins of power in January 2019. Before then, he had been working as the COO in 2018, and he succeeded Ian Read the following year.
Apart from Albert Bourla, other major company shareholders are Frank A. D’Amelio, Mikael Dolsten, State Street Corporation, Vanguard Group Inc., Black Rock Fund Advisors, and many more, all of whom own a significant percentage of Pfizer.
Pfizer’s mission statement is “to become the world’s most valued company to patients, customers, colleagues, investors, business partners, and the communities where we work and live.”
Pfizer, a multinational pharmaceutical company, works to discover, develop, manufacture, and market medications and vaccines for various medical conditions. The company conducts extensive research and development activities to create new treatments and therapies to help patients lead healthier, more productive lives.
Pfizer’s research and development efforts involve teams of scientists, researchers, and medical professionals who work together to identify new therapeutic targets, explore new drug candidates, and conduct clinical trials to evaluate the safety and efficacy of new treatments.
Once a new treatment or therapy has been developed, Pfizer works to manufacture and distribute it globally, ensuring that patients worldwide have access to the medications they need. The company also works with healthcare providers, patient advocacy groups, and other organizations to raise awareness about medical conditions and the treatments available.
The company is committed to advancing healthcare through research, innovation, and collaboration. It is dedicated to ensuring patients can access the treatments they need to live healthier, more fulfilling lives.
Pfizer’s primary revenue source comes from sales of pharmaceutical products, including prescription drugs and vaccines. Pfizer has a broad range of products and therapies that touch the lives of patients and consumers at every stage of life.
Pfizer also generates revenue through licensing agreements and royalties. For example, Pfizer may license out its technology or intellectual property to other companies and receive royalties in return. This allows Pfizer to leverage its existing assets and generate income without having to develop and market products on its own.
Pfizer is involved in several collaborations and partnerships with other companies and organizations to advance innovation in healthcare. These collaborations may involve joint research and development efforts, co-marketing of products, or other strategic initiatives that generate revenue for Pfizer.
Pfizer also generates revenue from government contracts, such as those for vaccine development and distribution. During the COVID-19 pandemic, Pfizer received significant government contracts to develop and distribute its COVID-19 vaccine.
In the past, Pfizer had an animal health division that was spun off into a separate publicly traded company called Zoetis. Zoetis produces a broad range of animal health products, including vaccines, medicines, and diagnostics, and generates revenue by selling these products.
Pfizer’s elaborate business model canvas consists of the following:
Pfizer customer segments consist of:
Pfizer offers a wide range of high-quality products for the following reasons:
Pfizer channels consist of:
Pfizer customer relationships consist of:
Pfizer revenue streams consist of:
Pfizer key resources consist of:
Pfizer key activities consist of:
Pfizer key partners consist of:
Pfizer cost structure consists of:
As is common for every business model, Pfizer’s adequate analysis of its strengths, weaknesses, opportunities, and threats goes thus:
Pfizer’s unwavering commitment to improving human health has earned them a spot among the world’s most reputable pharmaceutical companies. Their groundbreaking research has resulted in the development of life-saving drugs, and their dedication to innovation has set them apart in the industry.
As the world grapples with the COVID-19 pandemic, Pfizer’s efforts to combat the virus have been nothing short of remarkable. Their discovery of a highly effective vaccine has offered hope to billions of people worldwide. Their ability to quickly and efficiently produce the vaccine on a mass scale has been a testament to their expertise.
Looking to the future, Pfizer’s goal to treat over 225 million people suffering from severe diseases by 2025 is a bold and inspiring one. With their innovative approach to research and development, they are well-positioned to make significant strides in the global health industry.
Pfizer’s unwavering commitment to improving people’s lives worldwide has earned them a reputation as a company that genuinely cares about the well-being of humanity. As they continue to push the boundaries of what is possible, there is no doubt that they will remain a force to be reckoned with in the years to come.
Tesla, Inc. is by far one of the most well-known companies in the world. As…
The Duolingo Business Model revolves around creating an interactive language-learning platform accessible to people worldwide.…
Johnson & Johnson, a pharmaceutical and consumer goods company established over a century ago, prides…
Caterpillar, a renowned global manufacturing company, has dominated the industry for decades. With its extensive…
Instacart, founded in 2012, has quickly become a leading online grocery delivery platform. It offers…
The Quora Business Model revolves around creating a platform where users can ask questions, share…
This website uses cookies.