Competitive Models in the Pharmaceutical Industry: JCU Welcomes Representatives of So.Farma.Morra
Professor Antonella Salvatore welcomed representatives of the pharmaceutical company So.Farma.Morra to her course “Made in Italy: the Italian Business Environment,” on Monday, February 25. Founded by Alessandro Morra in 1980, So.Farma.Morra started as a small business in southern Italy. It has now turned into a large group that incorporates other companies, each specialized in a specific branch, including pharmaceutical distribution to pharmacies, import, export, communication, and marketing.
Import activities are managed by the company GMM Farma, which is part of the group. The so-called “Parallel Trade” activity entails the possibility of purchasing medicines from an EU country, relabeling them, and selling them in Italy at a lower price. This is possible thanks to EU laws and agreements that allow free circulation of goods, including medicines, within the European Union.
In addition, So.Farma.Morra exports Italian medicines to foreign European countries. In fact, countries where medicines are on average more expensive prefer to buy from Italy. The markets that purchase Italian pharmaceutical products more frequently from So.Farma.Morra are Germany, UK, Netherlands, and Ireland. In 2018, the turnover for the export of medicinal products was over 62 million euros. Currently, So.Farma.Morra is planning to start exporting to non-European areas as well, specifically the Middle East, Africa, and South-East Asia.
Countries need more medicines than they can produce. Since no one has a monopoly on medicines, each country has the right to distribute drugs at the price it has established. Before being sold, these drugs have to undergo strict quality checks, both in the distribution companies’ home countries and in the manufacturing countries. This business, conducted by So.Farma.Morra, as well by other pharmaceutical companies, is fundamental because it allows every country to have the medicines people need at the most convenient price.