Both In the Pipeline and PharmaGossip today recounted comments by Bernard Munos in Forbes on the state of pharmaceutical industry. To wit, drugs cost too much to create and the R&D return is lousy and unsustainable. Plus all the new drugs, e.g. cancer meds cost too damned much.
Maybe it will eventually occur to the industry that this model will not continue to work. Governments with struggling economies, in particular, just don't have the stomach for it. Thus, it is unlikely that policy will allow this to continue and that pharma management teams that continue to stumble around pursuing this model will soon meet their comeuppance.
All will likely struggle with low sales, possible imposition of severe price controls on their products, and struggles to get thrid parties to pay for their drugs -- especially without clear cost benefits. and the likely result is that more of the weaker parties will be absorbed by the strong(er) and the industry will continue to consolidate. Adapt or perish still holds.
Posted by Bruce Lehr Apr 29th 2013