SBU 1 will take care of cancer drugs and
And major chunk of business involve cancer segment. Recently, Novartis has acquired GSK’s oncology cancer drugs for 16 billion. This deal came after the patent expiration of blood cancer drug Glivec and slower-than-expected revenue from its new heart failure medicine, Entresto.
SBU helps company to be organized.
Once organized, you can micro manage things. Just take an example of large companies. They have at least 30 different products at all times. Each of them requiring separate manpower, strategies, expenses and returns. But, similar set of products bring together in a same sbu for effective utilization of the manpower, strategies, expenses and returns. It’s helps in effective segmentation, targeting and positioning.