The Generics R&D Challenge: Seeking the Elusive Profit Margin

Abstract

Low profit margins and limited innovation characterise the outsider's opinion of the generics industry. This paper compares the profitability of the major generics players with the R&D-based pharmaceutical companies, demonstrating how differentiation in generic drug portfolio management strategies is closing the gap. By focusing on the optimum company attributes associated with each strategy and case study analysis, this paper identifies how best to align top-line portfolio management strategies with sustainable profitability.