In recent years the pharmaceutical distribution market in Poland has seen many changes. The wholesale distribution segment has experienced consolidation, including combinations between leading players, as well as the privatisation of State Treasury outlets. New forms of distribution have also been developed, such as direct/DTP distribution.
The article is based on the report "Distribution on the pharmaceutical market in Poland 2010. Development forecasts for 2010-2012" published by PMR Publications in February 2010.

PMR Research in cooperation with KPMG conducted in July this year survey among senior management of the biggest pharmaceutical companies in Poland. The main objective of the study was to assess the current situation of the pharmaceutical market and to explore the market players’ predictions concerning the growth of the sector in the next two years.
The pharmaceutical market in Poland has developed dynamically in the past five years, weathering difficult market conditions. As demonstrated by the results of our study, the current economic situation linked to the global economic crisis has not affected the positive performance of the pharmaceutical sector, nor has it had an adverse effect on the optimistic mood which prevails among pharmaceutical companies in Poland. In 2008 the pharmaceutical market in Poland was worth PLN 24.1bn, which represented 11.5% growth in comparison with 2007. At present, it is among the areas of the Polish economy boasting the strongest future growth prospects. According to our forecasts, in 2009-2011 the CAGR (Compound Annual Growth Rate) will be 7.4%, whereas pharmaceutical companies expect it to reach approx. 6%. In terms of sales value, the Polish pharmaceutical market is the sixth largest in the European Union, while in terms of the rate of sales growth (as expressed in euro), it was the second fastest growing market in the EU in 2007-2008.

Competitive Intelligence for business purposes is still a new concept in the Central and Eastern European region. The communist era was one in which free market "competitiveness" was almost unknown and "intelligence" was associated with security services. The contract killing of Russian journalist Anna Politkovskaya in October 2006 and the killing of Magomed Jewlojew, the owner of independent internet portal in Ingushetia, despite the police protection, underlines the fact that the largest country and market in this region does not operate to the same rules as we are used to in the traditional arenas of research. Simultaneously the Monopoly board game square "Go to Jail, go directly to jail, do not pass Go, do not collect $200" certainly seems relevant to us at PMR. We advised one client that their proposed methodology could land them and those they intended to interview in prison. It is, however, both practical and feasible to include Central-Eastern Europe and Russia on the map of countries considered in a Competitive Intelligence study. For companies with significant international business interests for whom Europe is an important market, it is not only desirable, but necessary. This article explains why Central and Eastern Europe and Russia are important to CI projects and gives some guidelines on approaching projects in this region.

There is stark contrast in conducting Competitive Intelligence in Central and Eastern Europe and the Western countries. The difference is mainly in the availability of information. Whereas in Western Europe the researcher can find an abundance of information from often freely available sources, lack of data and information become major obstacles to conducting Competitive Intelligence in Central and Eastern Europe. This article highlights the differences in conducting Competitive Intelligence Projects in Central and Eastern Europe (CEE) and Western Europe and the United States. In addition, it describes the differences among countries within the region, revealing potential opportunities and threats to conducting Competitive Intelligence.

If you are a Canadian investor or a business owner, ask yourself: what is your first thought when you think "Poland"? Do you draw a blank? Does it raise any economic associations regarding a good business destination?
It is often said that Poland is one of the most attractive investment destinations in Europe and the world. It is also a market of 38 million inhabitants, which makes it the 6th most populous nation of the European Union. With 4.8% GDP growth, 3.5% Industrial Production growth and a 4.2% inflation rate in 2008, Poland is also one of the most vibrant European markets, in spite of the world's economic crisis. Furthermore, the 2009 forecast for the Polish economy still remains reasonably optimistic, especially in comparison to other European countries' forecasts. It is estimated that in 2009, Poland will achieve 1.6% GDP growth, (-)0.8% Industrial Production growth and have a 2.5% inflation rate.
In addition, 80% of the Polish workforce has received tertiary education, and considering the cost of living in Poland, make for a relatively competitive workforce compared to other nations. Furthermore, since joining the EU in 2004, annual Foreign Direct Investment into Poland has averaged EUR 7 billion. Lastly, the EU budget foresees a budget of EUR 60 billion to be invested in Poland over the 2007-2013 period, ensuring the country's further development, particularly in the area of infrastructure.
Poland is Canada's 15th largest export destination in the EU, and it is by far the single largest Canadian export market of the 10 new EU entrants. Canadian exports to Poland have risen steadily in the recent years to reach a current level of EUR 277.5 million. Canadian cumulative investment in Poland totals almost EUR 334 million (CAD 501 million). Opportunities for trade and investment for Canadian firms exist in the agri-food, environment, ICT, infrastructure, aerospace, defence, S&T and energy sectors. Major Canadian firms already active in Poland include McCain Foods, Shoppers Drug Mart, SNC Lavalin, Bombardier Transportation, Nortel Networks, Bata Shoes, Aldo, Magna International, Thomson Reuters and Pratt & Whitney Canada.

In Poland, there is currently 300,000 km of road, out of which approximately 18,000 km is supervised by the Polish state on the national level and 28,400 km by the regional authorities. The remaining 253,600 km are local roads administered by local authorities. Polish road network has been neglected for years and has gained a bad reputation even outside the country. A few years ago key problems of the nearly whole road network were:

• Bad state of the surface - potholes, tracks, slippery surface - caused mostly by bad construction of the road that has been penetrated by the water turning into ice during the winter months as well as overloaded cargo vehicles using the road (what partially was caused by the simultaneous neglecting the railroad network that was not ready to take the cargo transport off the roads),
• Congestions - caused by narrow roads as well as increasing amount of cars used by Poles - in the period between 2000 and 2005 the average daily vehicle traffic on major roads increased by 18% and continued to grow in the next years,
• Lack of by-passes - many national roads were passing through the town centres or villages situated on the road at the time when the road was first planned usually in the 18th or 19th century or even earlier,
• Single-level crossings with other roads, quite often without even traffic lights or left/right turning lanes,
• Lack of motorways or expressways, however part of the major roads on the key directions were dual-carriageways.

The poor state of the road infrastructure in Poland has been one of the major bottlenecks in the country's road to a fully functioning market economy, leading to long travel times, thus, directly affecting workforce mobility and general price levels.

What are the needs of shoppers in a particular market? How may these needs be addressed? What are the current and expected future trends on the market? These are a few of the important questions that retailers need to answer when devising a market entry strategy. Obviously, the answers to these questions will be different for each market, since different economic conditions give rise to different needs, shoppers' preferences and various retail formats. However, many similarities may be found across different markets. The countries of Central and Eastern Europe and Russia may be considered as three different groups, with two headings - the country's share of modern retail and average annual per capita spending. Retailers should try to tailor their retail formats to the needs of shoppers, taking into account the business environment. None of the retail market possible evolution paths should be ignored when formulating a strategy. As economies develop, the number and variety of shopping occasions expand and the retail attributes that shoppers seek consequently increase. As a result, opportunities for developing new and hybrid formats which can effectively address shopper needs continue to arise.

Successful marketing managers are measured more by the quality and number of quality sales leads they generate than the soft fuzzy brand image that hard-nosed businesses deplore. Smart marketing managers make sure they work for companies with compelling value propositions, rather than those who have little more than "the brand" going for them. This article is aimed at successful companies that are achieving good results using best practice with a low cost per quality sales lead. As the title of the article suggests, and Google's explosive revenue growth proves, it's highly likely that any successful company will have at least experimented with Google Adwords. If your company is currently spending more than a million Euros a year on conventional marketing (conventional adverts, direct mail/telesales, trade fairs, and events) and has never spent anything on Google Adwords then something is almost certainly wrong. Even a few thousand well spent Euros/Pounds/Dollars on Adwords can generate better results than conventional marketing. This article is more aimed at readers who find this statement obvious rather than those who have yet to learn/understand. If you don't understand and you want to keep your job, stop reading this article and learn about Adwords now.

The trend of the falling prices of valuable assets in the region is interesting not only to companies already looking at Central and Eastern Europe as a possible place for sourcing and development, but also to companies who have not even thought about expanding to this region. This paper gives valuable insight about Merger and Acquisition opportunities, that are currently emerging in this part of Europe and highlights the most common problems companies face whilst searching for targets and closing deals.

The benefits of sourcing in Central and Eastern Europe (CEE) for the international business community is more than just a matter of good value for money and lower transportation costs. As the CEE region is part of the European cultural sphere, clients have a similar mentalities and to some extent, lifestyles, which differ from the Asian or South American producers. If the world economy is gravitating towards BRICs, as many increasingly argue, Central Europe is a natural supply base for both Western European and Russian markets. As global business relocates its factories to low cost Europe, the opportunities are increasing. This white paper illustrates the opportunities for purchasers in the CEE region and highlights the reasons behind slow and difficult progress. It also provides a tool kit for assessing organisation's readiness to source, and makes recommendations for actions to be taken for those for whom this strategic issue is too profound to ignore.

Central and Eastern Europe, consisting of 20 countries and accounting for 365 million people (nearly 1.3 times more than the population of the United States), together with the combined GDP estimated EUR 2.903 billion in 2008, which creates an interesting investment area not only as a target market for new products and services, but also as a sourcing hub or manufacturing location. The objective of this paper is to aggregate the economic performances of a number of countries, presenting a single economic area. However, this is done having in mind the region's heterogeneity in terms of economic development, location, political situation, as well as incentives for new investors. The countries in our focus will be Albania, Bosnia & Herzegovina, Bulgaria, Croatia, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Macedonia, Montenegro, Poland, Romania, Russia (European part), Serbia, Slovakia, Slovenia, Turkey and Ukraine.

PMR specialises in gathering information and presenting analysis on the developing countries of Central and Eastern Europe. In order to satisfy the our clients' demand for up-to-date and accurate information on all our markets, we have decided to extend our research capabilities to cover the Caucasus. When companies look at possible opportunities in this region, uncertainty and insecurity are clearly threats that need to be taken into account. However, with a population of 4.6 million in Georgia, 8 million in Azerbaijan, and 3 million in Armenia, business opportunities in the region remain strong - especially if a peaceful resolution to the conflict is found in the long-run.

The rapidly growing markets of the developing world present new and important challenges to international business. At PMR, we aim to give relevant and up to date information assembled by our researchers and hope that the readers will find them interesting. We welcome feedback, comments or questions. If you want more detailed research please do not hesitate to get in touch.

The first Hungarian social networking web service was launched in 2002 as Wiw and it is still the market leader although new social networking competitors have been launched since then. This article presents a short summary of Hungarian social networking websites and their market position.

Richard Lucas, Chairman of PMR, was speaking to Joe Tarantola CEO of Kline: "PMR has been a close partner of Kline for many years, with strong cultural and personal affinities. Joe Tarantola is CEO of Kline, a highly successful worldwide consulting and research firm which has been in business for nearly 50 years. Following a brainstorming session in our HQ in Cracow - in Central Europe - I proposed an interview for the blog. I didn't know what Joe was going to say, but I knew the results would be interesting. My questions and Joe's answers are presented in this article."

Throughout the 1990s Central Europeans had to put up with ignorant foreigners making jokes about queues and shortages, though free market economic reforms at the beginning of the decade had eliminated most queues almost overnight. Jokes about shortages weren't funny, but they were a consequence of the widespread knowledge in the west that decades of non-market communist rule caused frequent shortages because prices were set too low and producers did not have incentives to increase production. Now in 2007 the queues are back. But this time it is completely different. The queues these days are of businesses and consumers with real money to spend.

The Private Equity industry is booming around the world, and hardly a month goes by without another record breaking deal being announced. The upheavals in the credit markets in July August 2007 obviously mean that credit conditions are toughening. The arguments presented still very much apply, despite the very public problems the Private Equity industry is facing, because the opportunities to make money in emerging markets are so good, and ultimately making money is what the Private Equity industry is all about. This article highlights some of the most attractive areas for Private Equity professionals to focus on in rapidly developing economies, based on the author and PMR's experience advising international companies in the Eastern Europe region and doing deals since the beginnings of the 1990s. As PMR expands into China, we observe that the opportunities in other big developing countries are similar, if not larger. Clearly the Eastern European economic situation, with European Union membership of some of the countries in the region, the lower travel and logistic costs, free trade and freedom of labour movement means the region is different from Asia, India and South America. The reader will immediately be able to see when the opportunities identified apply only the European arena.

For companies that design and run internship programs, and who want make these programs successful, and to interns, who want to make sure that they end up in a company where they are appreciated and valued, this article provides valuable insight.
For interns, few things in life are as demoralizing as being ready to commit and help an organization and then to find that the company is not interested or aware of your commitment and potential contribution. Sadly some companies systematically inflict this on interns as they are regarded as cheap/free resource so it doesn't seem to really matter if not much advantage is gained. If you work for a company, review your intern processes to make sure that they are as good as they possibly can be. The trigger for writing this article was meeting clearly intelligent and motivated interns in Aiesec Krakow complaining about the boring days they were having in their companies. This article is being reviewed by our interns at PMR and our recruiters for feedback.

This executive briefing contains key findings from a recently published report by a leading specialist M&A company focused on transactions in the business to business publishing market - Bertoli Mitchell. It contains up to date and specialist information not available elsewhere and therefore is of great value as a free standing document for the active players in the market. The report covers a period of 14 months, from January 2006 to February 2007, and reviews 143 M&A deals completed in the period in business-to-business and professional publishing.
The companies covered count among the largest global information publishing conglomerates, including McGraw-Hill, Pearson, Reed Elsevier, The Thomson Corporation, Wolters Kluwer, John Wiley & Sons, Informa, United Business Media, VNU and others.

Tom Keenan was European Purchasing Manager for one of the leading American FMCG companies. Deploying an overall radical approach, he restructured the company's manufacturing operations by transferring much of their production activity from wholly owned factories in North America to China.

Based on insight and observations, this article explores the importance of sales skills in successful purchasing practice. Although it can be humorous to think that the factors that make a successful purchasing manager are the same as those that make a successful salesman, it is nevertheless the reality. Owing to many years of experience in dealing with both functions in Europe, North America and China, Mr. Keenan states that the skills for selling and purchasing are very similar, particularly with respect to negotiations, persuasion, collaboration and analytical thinking.

Large corporation are often faced with the challenge of deploying regional strategies at a product level across Central and Eastern Europe, including Russia and the CIS. This presentation describes a tested practical approach to regional strategies, which has proven highly successful in the recent years. The most common setup for the corporations is a back-office (usually located in one of the Central European countries) and support services such as sales and marketing, logistics, IT and other.

The two most common questions to be answered concerning the implementation of the strategy are:

• Is the regional strategy suitable on a product level?
• Can the regional strategy be deployed in the particular country?

This paper undertakes to present a structured approach to the above-mentioned issues, highlighting viable course of action to be taken and its subsequent implications for companies to deploy in order to reap the rewards and increase profitability in the region.

Economies of Central and Eastern Europe and Russia are the fastest growing in the European Union - one of the richest areas on the planet. Russia is a strategically important BRIC (Brazil Russia Indian China) country. Although it is a large market, it is also considered as one of the most difficult places in the world for doing business.
The author and his 300 business colleagues and associates have been doing business in the region since 1989. Based in Poland, the largest new European Union member, these businessmen have faced the realities of doing business in this increasingly important part of the world. Market leading companies from around the globe are becoming more and more aware that they need to work out a strategic approach to business in Central and Eastern Europe, however, some of the best options are no longer available. Thus, developing a strategy in Central Eastern Europe and Russia is far from simple, and implementation can be considered as more than tough. The practical difficulties of moving ahead can obscure the need to step back and review the big picture.

Purchasing is one of the most important, yet least understood functions in any business. It is a quasi-profession that encompasses a wide range of tools to achieve the goals of the function. The application of these tools often varies wildly depending on the individuals involved, their training and the metrics used to measure them - more so than would normally be found in other "professions". This lack of consistency adds a frustration to the profession as well as varied opinions as to the true purpose and effectiveness of the field in every business. Purchasing, which includes finding and managing of suppliers with the aim of managing the total (integral) cost of goods and services, is also traditionally thought of as a cost centre. Strategic purchasing is not only a profit centre, but also central strategic weapon that should be a key element of any consumer goods business and part of the general manager's tool kit. More importantly, the industrial bases and supply chains of most consumer goods companies are changing more than ever; whether is it is your company or that of your competitor, products are being sourced further afield than ever before. Purchasing is the handmaiden of these changes, requiring a new set of skills to make the most of new opportunities. Companies that do not stay competitive with these changes will be left behind, potentially leaving your company at a significant cost disadvantage if your competitors are able to harness emerging lower cost alternatives faster than you. This paper gives a full overview of the importance of the function as it stands today, the risks of not ensuring your purchasing department is up to date, where it is likely headed and what questions you can ask so that you can put your purchasing department at the centre core of strategic activities within your organisation.