Usually when anyone makes up his/her mind to promote products of a PCD pharma company in his/her area, first thing he demands for the company’s price list.

Now what does this price list contains and how working model of PCD companies is different than other ethical and generic companies.

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  • In pcd pharma company there are no medical reps working in the field. It is the sole responsibility of the franchisee to market and supply the products in his area. Whereas in ethical companies Medical Reps are provided by company itself to promote its products in the area.
  • As PCD pharma franchisee has the sole responsibility to market and distribute products in his area, the company provides goods to franchisee on net rate basis. Distributor can sell those products at any price as he wants. But in ethical company the price of products are fixed. (30% less from MRP or any other less). So the distributor cannot improvise on prices much.
  • PCD Pharma Franchise company tries to keep as minimum profit as possible to itself. It tries to give advantage of popularity of brand to distributors as he has established the products of company in the market. Whereas in ethical company a fixed minimum profit is kept with the company and very less profit is given to distributors and there are multiple distributors all across the area, so any distributor doesn’t have any monopoly rights for that area.


Why is price list to important for PCD Pharma Distributors?

A distributor calculates his margin from the difference between MRP of the product and net rate of the product at which he is getting the product from the company.

Here are the steps to calculate his margin:

  • Suppose the MRP of product is 1000 rupees and net rate is 200 rupees.
  • Now distributor gives 20% margin to retailer on MRP so now the money he gets is 1000 – 200 = 800
  • Now distributor gives 30% margin to doctor for prescribing his products, 30% of 800 is 240 rupees.
  • Now the money he gets is 800 – 240 = 560 rupees.
  • Now 10% of the MRP is his expenses (salaries, transportation charges, damages etc)  =  80
  • So the money he gets after selling one box is 480.
  • So his net profit is 480 – 200 = 280.


If you want to promote product of PCD Pharma company in your area then please contact us.