Case Study

Case Study

Introduction

The PMB of the XYZ Company has one of the largest shares in the pharmaceutical companies and is one of the leading companies of the world. Every year there is a meeting which is convened to understand and review the projects that are under pipeline for the company. The research and development portfolio is one of the major contributors for the company and it meets on a monthly basis to cater to developments that are going on each project. The decisions related to each product are made on a continuous basis as this shapes the future of the company.

Discussion

Potential Issues in the Industry

The discussions that are taken in the company keep in mind the in depth study of each of these products. They look at the additional resources which are required along with the expenditure available for other products.The pharmaceutical industry consists of hundreds of manufacturers, however, PMB accounts for 90% of global sales in the industry. Currently, there is a greater increase in competition with an emergence of drugs with new brand names and are being introduced within a short life span which has created a little trouble for the company. Further, there has been a decrease in the profitability of drugs in their lifetime which is mostly due to the fact that their copies are available in the market. The whole procedure of drug discovery is an extremely risky, time consuming and an expensive process which involves incorporation of many steps in the middle. According to the most recent estimates there has been an overall increase of $800 million in the cost of developing a medicine. This has been a drastic change since the 1990's when there were reduced increase in costs on clinical trials and patients per trial. Thus, today there has been doubling in the ...