Case Analysis of

Dendrite International
Industrial Marketing Strategy
Submitted by
Group 2- Section B
BOYDAPU AJAY KUMAR 2016PGP096
CHANDRAN M 2016PGP099
GAURAV KUMAR SINGH 2016PGP128
KALAIVANI G 2016PGP163
NIKHILESH K 2016PGP161
RAJAGOPALAN K 2016PGP300
SHRIRAM K 2016PGP365

7/7/2017
a) Identification of the problem:
Dendrite International is a leading sales automation supplier to Pharmaceutical firms with
their clients present in many countries. The successful business model is to provide both
software and service to Pharmaceutical firms. Currently they had established subsidiaries in
Belgium, England, France, Germany, Italy, Japan and Spain. At present John Baliye,
President of Dendrite international is looking at strategic choices which will serve as
potential routes for the growth of company. Some of the options available with Baliye are
1) Expand into other vertical markets which require similar large field sales forces to sell their
products. Some possible sectors are insurance, consumer package goods etc.
2) Expand into other vertical areas within Pharmaceutical firms.
3) Concentrating on sales applications and product enhancements which increase dendrite’s
value to pharmaceutical clients.

Another issue faced by the company is the coordination of sales and service efforts and
changes in the role of the business manager.

b) Analysis of the situation and the problem:

Options Investment Risk Involved Technological Competition

Available Support
Expand into $10 Million High Code can used Low
Other Vertical High again with
Markets minor
customisations
High
Expand into $2-5 Million Moderate Expert in Major multi-
other Vertical Moderate network national firms
Areas within technologies Moderate
Pharma firms High
Focus on Sales $1 Million Low Additional Credibility of
Applications Low Developments other vendors is
and Product required questionable
Enhancements Moderate Moderate
 The changes in roles and responsibilities of the Business Manager and adding an Operations
Manager will enable Dendrite to focus more on the pre-sales part and acquire new customers.
It will ensure that BM has enough time to focus on expanding the business into other verticals
in pharma industry and look for the untapped potential in other industries. Also, it will
enhance query resolving from the client’s side.

c) Recommendations:
Based on the analysis of the three options, we recommend proceeding with the second option
which is expanding into other vertical areas within pharmaceutical firms because of the
following reasons
1) Since they are already operating in the pharmaceutical industry it will be easier for the
sales team to pitch to companies. Given the complex nature of the selling process moving to
other industries may take more than 18 months
2) Investment is significantly less which is in the range of $2-5 Million.
3) Most of their sales have prior experience in working in pharma industry. Hence
moving into other industry will need experience personnel in a particular sector.
4) Even though the competition from multinational firms is high, the close competitors
of Dendrite don’t have easily customizable and optimized systems to provide cross functional
value for clients.

It is recommended that adding Operations Manager will improve the efficiency of the day to
day operations of Dendrite.