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Peculiarities of Promotion of OTC Medicines versus RX Drugs of Global Pharma Companies by the Example of US and Russian Markets

Student: Tamila Kokaeva

Faculty: Faculty of World Economy and International Affairs

Educational Programme: International Business (Master)

Year of Graduation: 2019

The goal of our research is to identify whether different peculiarities of promotion of pharmaceuticals in the US and Russia affect the consumer behaviour and perception towards pharmaceutical industry. The object of this research is promotion of medicines in general whereas, the subject is promotion of RX drugs versus OTC medicines on the US and Russian markets. In order to implement our goal we set several tasks such as: • To provide existing literature review on the topic: definition and concept of promotion and promotional mix; principles of promotion in pharmaceutical industry; special requirements for RX drugs and OTC medicines promotional content on the US and Russian markets • To provide an overview of pharmaceutical industry on the US and Russian markets; to make a case study on promotion of RX drug (Viagra®) in the US and Russia; to make a case study on promotion of OTC medicines (Advil®) in the US and (Bifiform®) in Russia • To conduct cross-case analysis and compare promotional activities for RX drugs and OTC medicines between the US and Russian markets • To provide recommendation based on the topic of promotions based on findings for global pharmaceutical companies Besides, we have developed two hypotheses we will test in our research: 1. Permissive regulations and extensive promotion of RX drugs and OTC medicines raise “selective” demand, i.e. shift consumer behaviour towards buying branded drugs instead of generics 2. Permissive regulations and extensive promotion of RX drugs and OTC medicines create positive consumer perception about global pharmaceutical companies and their products

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