Healthcare Markets and the Pharmaceutical Industry

The full extent of what the ongoing transformation in the global economy portends for the pharmaceutical industry in the short and long terms can only be conjectural, the expansion of healthcare markets that the digital revolution occasioned, for example, hardly foreseen a decade ago. The broader manifestations of this transformation as on the phenomenal growth of the economies of countries such as China and India, labor mobility, public services commoditization, consumer empowerment, and trade/competition regulation, among many others, would no doubt influence developments in global markets, including their control and overall operations, creating immense prospects and challenges in, some would contend, equal measure.

Given that 50 percent of the world's population lives in Asia for example, and that it is a veritable source of huge, relatively inexpensive labor, not to mention potentially large retail markets, that its role in the evolution of the world’s economy is likely substantial is hardly disputable1, the specific issues this raises for the pharmaceutical industry, legion. The ability of a particular pharmaceutical firm to align with its strategies, a thorough appreciation of the effects on market evolution of the unique opportunities and constraints that the region’s cultural, economic, and geopolitical diversities, among others, pose, would, in the main, determine its success or otherwise there.

How should the firm for example conduct its marketing efforts considering the commotion over direct-to-customer (DTC) in the U.S., and indeed, many European and other countries2 in recent times? In the U.S., for example, the pharmaceutical industry has essentially being under the watchful eye literally of not just the public, but also, and among others, the law, with numerous public and private legal enforcement measures visited on drug manufacturers3. These measures in tandem with what some would deem progress in law, but an accolade with which some would quarrel, including the HIPAA, the Sarbanes-Oxley Act, and the OIG Compliance Guidance for Pharmaceutical Manufacturers, would shape, by and large, the industry’s future in the country.

Indeed, some have suggested that they would, and the industry should acquiesce to this tendency, promote self-regulation in the industry3. If indeed, they did, how would this affect the industry’s approach to marketing, and how it does business in general, and would such say stringent self-modulation influence its operations in just particular jurisdictions, or globally? Would this, specifically regarding marketing for example, not amount to the industry short-changing itself given the looming intensity of competition with the biotechnology industry for example, which incidentally, is also starting to embark on aggressive DTC marketing?

The soaring costs of prescription medications that many would argue pitched the public against the pharmaceutical industry, if not also government, in some cases, and the latter’s renewed commitment to fighting fraud, provide in part, the backdrop for the current tumultuous regulatory milieu, in countries such as the U.S4. However, should, and could the pharmaceutical industry afford to continue to take the spanking for a complexity seemingly ever more so, in particular given the its potential to compromise the industry’s ability to survive let alone thrive?

Kindly click here to buy now via PayPal with your Credit Card or PayPal Account.