Essay --

Mid Term Assignment - Genzyme HIMP6170 – Professor Aditya Pai Shweta Harwalkar (ID: 212294831) 2/13/2014 â€Æ' Company / portfolio for analysis (Refer to Appendix 1, 2, 3 & 4) Genzyme Corporation (Genzyme), a subsidiary of Sanofi-aventis, is a biotechnology company which is principally engaged in developing products and services for rare genetic disorders. The company has its operations worldwide with its principal concentration in the US and the UK. Genzyme is headquartered in Massachusetts, the US. The parent company, Sanofi, is a global and diversified healthcare leader. Genzyme is currently organized into two business units – Rare Diseases and Multiple Sclerosis. ïÆ'Ëœ Rare Diseases: Focusing on uncommon and underserved medical conditions, the Rare Disease business unit is currently focused on three medical areas: †¢ Genetic Diseases - Pioneering Solutions to Lysosomal Storage Disorders – Orphan drugs †¢ Endocrinology - genetically engineered version of thyroid-stimulating hormone (TSH) †¢ Cardiovascular Disease - inherited disorders, such as familial hypercholesterolemia, a genetic and potentially life-threatening form of severely high cholesterol that often doesn't respond to traditional treatments ïÆ'Ëœ Multiple sclerosis: Multiple sclerosis is a chronic disease that affects each person differently, with symptoms ranging from numbness in the limbs or forgetfulness to paralysis or loss of vision. Revenues and growth trends (Refer to Appendix 5) Sanofi acquired Genzyme for $20.1 billion. â€Å"New Genzyme† was successfully integrated resulting in sales growth of 16.9%. Sales for Fabrazyme ® (agalsidase beta), a treatment for Fabry disease, nearly doubled. Sales for Myozyme ® and Lumizyme ® (alglucosidase alfa), indicated in Pompe d... ...better compensations Shareholders A leader in orphan drug market will attract more shareholders Genzyme must increase economic value created for shareholders Retail Chains Reducing the retail chain can help Genzyme sell at lower price or have higher profit Changes in the retail chain system will probably affect the profit margin of the drug Government Work closely with the government to make sure that the orphan drugs are available in that country/market Government regulates the price of drugs - If Genzyme does not lower the cost of orphan drugs, then it is very likely that government will set a lower price, which will cut Genzyme’s profit Other rare disease associations Communicate effectively and work closely with these rare disease associations Most rare diseases do not have treatment available - High pricing will prevent some patients from getting treatment