Growing economies, like China and India have and increasing demand for drugs; It is said that the indian drug market will reach $20 billion by 2015. This will lead to companies having to increase the branding of their products to attract more of these customers. It may also make companies have to invest more into research and development of new drugs to suit these new markets, as they may have more demand for a certain drug than in the current countries they're selling.
Finally, a third consumer factor that may influence the industry is the increasing need for perzonalized medicine. It can cause the industry to, once again, have to invest more into research and development to cover the needs of certain groups of patients. They will also have to invest into more specialized marketing and promotion startegies to target these groups of consumers.
Maria
http://blogs.hbr.org/hbsfaculty/2010/04/pharmas-future-depends-on-thes.html
If these pharmaceutical companies have to keep investing in research and development for personalized drugs and investing in more marketing and advertisment to get their drugs to other developing countries, this could mean that drug prices will do nothing but rise regardless of weather the patents for many drugs are going to expire. Its shocking that companies can find loopholes in just about everything.
ReplyDeleteI think the information that you posted about China and India really show how the economies of China and India are rising and trying to become as powerful as the United States. I find it interesting that they are becoming more evident even in our industry.
ReplyDeleteYes I found it very interesting, and the fact that is becoming so obvious in our industry is even more scary. And yes Lindsey, the prices of drugs are most likely just going to keep on rising due to things like these.
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