Pharmaceutical industry five force model

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Written by:

Linda H


Date added:

July 20, 2014








No of pages / words:

2 / 522


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A pharmaceutical company can move its R&D centers to other countries which have low labor costs such as India or China ,or it can outsource small companies or biotech companies to do R&D instead. If doing so, a pharmaceutical can lower its R&D costs and drug prices so it will have more profits to fund its new drug research...
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Another alternative is to focus on the new science and technology. Previous century, the deep understanding of living organisms and advance in technology help pharmaceutical companies to stay competitive in the industry. For the future, pharmaceutical companies should invest in the newest medical diagnosis "DNA and Genome" which if successfully getting new drugs, it will be a great barrier from other pharmaceutical companies to enter because of the complexity of the DNA and Genome...
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