What is a PCD pharma franchise?
PCD stands for Propaganda Cum Distribution. This is a business model that is incorporated in the pharmaceutical sector. This model has been used by pharmaceutical companies to expand their geographical reach while providing business and career opportunities for other SMEs simultaneously. PCD pharma franchise business is a business strategy in which two parties collaborate to operate a pharmaceutical business and sell the profits.
Partnership between franchisor and franchisee
A parent pharmaceutical company is called a franchisor, and its tributaries are called franchisees. Where franchisors manufacture pharma products and their franchisees market, distribute and sell them in a local region. A franchisor might have multiple franchises spread in distant locations in India.
This partnership enables a pharmaceutical company to extend its reach and grab e consumers in potential markets.
In return, multiple franchisees leverage the opportunities given by parent companies and build a small-scale independent pharmaceutical business in a small territory.
Product selection and territory
In this business model, a PCD pharma franchise company in India offers its franchises to other individuals or entrepreneurs. These franchisees (individuals or entrepreneurs) are bound to distribute and market the given or chosen product line in a particular territory to churn out the profit from direct sales.
Later, both the franchisor and the franchisee share the profit following their mutual business contract.
Often franchisees are given a choice to select the desired product line. They may also choose the territory in which they start franchising. However, sometimes, companies assign the territories to their franchisees in favour of their business expansion.
The most highlighted feature of a franchise business is that the franchisors provide exclusive distribution rights to their franchisees in an assigned territory.
Investment and Revenue
PCD’s pharma franchise business requires very minimal investment. Anyone with a little investment of 20,000 rupees can own a decent and lucrative franchise business. In this way, a franchisee can become an owner of a pharmaceutical business in a locally assigned region.
They will receive the entire product line from their franchisor. They just have to take the responsibility of distribution and marketing of that product line in their area to generate revenues.
Later this revenue is shared between both parties following their contract terms. In simple words, this business module benefits both franchisor and franchisee mutually.
Choose the right franchise partner
The right franchise business partner would support and help in establishing a PCD pharma franchise business for its franchisees. Franchise seekers should assess companies and their profiles carefully before investing.
Select the best and most demanded product line according to the territory’s potential market. All these factors can help ensure the success of the franchise business.
A decent franchisor can surely help and support every stage of business management. Just choose the right franchise-providing company that suits your requirements. A wise decision can provide you with a fascinating business venture that is rewarding and fruitful.
Neoliva Formulations is a PCD pharma franchise company in India that is always upfront to provide vital information and details about franchise business in the pharmaceutical industry.
