Effects of profit-reducing policies on firm survival, financial performance, and new drug introductions in the research-based pharmaceutical industry
Article Abstract:
The implications of a pharmaceutical company's financial policy and research and development (R&D) on R&D costs are computed using a new model. Results show that reducing profitability is significant in economic performance, survival and new product development of the firm, although it may remain unnoticed by consumers. Profit reduction in new and small pharmaceutical companies is examined.
Publication Name: Managerial & Decision Economics
Subject: Economics
ISSN: 0143-6570
Year: 2007
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Determinants of drug prices and expenditures
Article Abstract:
Analyzing the flow of money and products in the pharmaceutical industry is different in other industries owing to the presence of intermediaries and subscribers. Spending on drug research and development is related to increase in drug prices, that when spending increases, the prise also rises. The impacts of price controls in the pharmaceutical industry are also discussed.
Publication Name: Managerial & Decision Economics
Subject: Economics
ISSN: 0143-6570
Year: 2007
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