Essay on Merck Company

At present, the company is organized into three divisions:

  • pharmaceuticals focusing on innovative prescription drugs;
  • pharmaceuticals centred on generic prescription drugs;
  • consumer health comprised of different activities such as health and medical nutrition including genetic engineering and the development of products.

The pharmaceutical industry is characterized by stiff competition. The international competitors of Merck are international, research-based pharmaceutical and biotechnology companies that also sell branded, patent-protected, prescription medicines. However, because Merck is ahead in research and development, specifically in technologies, these create leverages for the company to be at the top. Technologies help the company ease working loads; make them faster and more accurate.

Research is advancing at a rapid pace. The application of research provides the opportunity to improve productivity, quality, and cost control in education and research, security of health-related information, and reimbursement through new product development at Merck. While these advances in research promise huge benefits such as higher quality medicine, enhanced workflow and increased efficiency, there is also the potential for precious resources to be squandered and the added pressure of patient welfare at stake.

While Merck’s research systems were intended to steam line financial management and automate manual processes, Pharmaceutical Industries now require much greater functionality. The modern Pharmaceutical Industries is expected to link administrative, laboratory, financial and clinical data to provide faster diagnosis and better treatment.

The application of research at Merck would highlight the potential benefits of new product development in increasing access, improving quality, and reducing costs. While there is consensus that result will result in substantial cost savings, new product development can quantify the magnitude of the savings of Merck in a way that is scaleable to nationwide implementation.

With the mission statement of Merck, the company aims to provide high margin generic drugs. This objective resonate their mission of lowering or controlling the costs that they would pass onto their consumers. In order for Merck to achieve their objective, they must be able to find ways of lowering their production costs so that they will be able to lower the cost that they will pass onto their consumers. One of the policies that they implemented to see this through is by focusing on research to develop and maintain technologies. For example, Merck invested in information technology. This allowed them to create a web-based system that improved the company’s management of inventories and orders by enhancing their speed and accuracy. By lessening the margins for errors, Merck will also be able to lessen their production cost.

The website of Merck is able to adhere to the basic rules so as to ensure that the website created will be accessible.  The patients and caregivers website of Merck is easy to read, easy to navigate and easy to find.  In addition, the layout and design of the web is consistent throughout the site, plus the website and the needed information regarding the medicines is quick to be downloaded. This absolutely contributes to understanding Merck’s product line.


  1. Corporate Responsibility: Committed to make a Difference. Retrieved May 23, 2007 from
  2. Patients & Caregivers: Comprehensive medical resources to keep you educated and informed. Retrieved May 23, 2007 from



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