Business organisation and policy

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Write 8 page essay on the topic Business Organisation and policy.The PESTLE analysis is an important tool for understanding main environmental forces affecting global pharmaceutical industry based on data on political, economical, socio-cultural, legal and environmental concerns analysis provides.Political factors affecting pharmaceutical industry are in most cases interlinked as governments work to establish regulatory frameworks to govern both state and international issues involved in the industry. Therefore, governments have introduced both formal and informal rules to manage the industry through measures that include taxation policies, trade restrictions and tariffs, political stability. Apart from providing an enabling environment through political stability, governments have supported this industry based on the understanding of the role of healthy citizenry to economic development of the country. Pharmaceuticals have therefore worked with governments in introducing drugs to different countries based on the understanding of their importance to the wellbeing of a country. Governments have also moved to create monopolies in the industry as powerful buyers of drugs for controlling expenditure in states’ health care systems (Smith, 2012).Therefore, political arena influences regulations concerning practices of pharmaceutical business and depends on government practices that supports healthcare as an important contributor to welfare of the nation. Political goodwill from the government is important for the pharmaceutical industry especially with regard to patent from period covering experiments to release into the market. Renewal of patents is a concern for manufacturers in the industry especially due to the long period it takes for manufacturers to conduct research, test, then release drugs for human consumption. Given that patents exist for approximately twenty years, political goodwill is necessary for the renewal of such contracts to allow manufacturers proceed

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