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We ask three managers building Greenfield plants to rationalize and defend their decisions
AstraZeneca – Nenand Pavletic: Strategy. "Our organization sees Russia as one of the key global markets for any multinational. At AstraZeneca, we decided that we would like to develop a local manufacturing facility via our investment in the Kaluga region, so that we can improve this nation's access to AstraZeneca medicines. Our investment does not end with manufacturing. As a company, we believe that AstraZeneca's R&D capabilities will help to address Russia's healthcare needs. We believe that we can leverage the expertise of Russian scientists and medical professionals. In this line, we are also investing in research and development. The third element of our strategy is the continuous education of healthcare professionals."
Novo Nordisk – Sergei Smirnov: Ethics. "One of the most important activities of Novo Nordisk is the establishment of production facilities in countries where diabetes is increasing rapidly, such as Brazil and China. Our leadership position and our understanding of the principles of social responsibility require contributing to the development of national health systems. Construction of the plant for the production of modern insulins in Russia is the realization of this strategy and our contribution to the modernization of the health system of Russia in accordance with the program 'Pharma 2020'. We do this both because it helps grow our business and because the need for more and better diabetes treatment is real and urgent."
Nycomed – Jostein Davidsen: Economics. "For us, we did this not because we feel there is a forceful message from authorities saying, 'If you want to have success in Russia, then you better do this.' We did this because we have many high-volume retail products here that are not dependent on the essential drug list, not dependent on reimbursement, not dependent on state procurement, etc., etc. Our products are dependent on the demand of the market. So we can defend our investment in the factory independent of any government procurement strategies. It is purely something we need to ensure product availability, logistic streamlining, and efficacy."