Abstract
The US pharmaceutical industry is being reshaped through a number of mergers and acquisitions, resulting in consolidation of the industry. This article examines the economic and social forces leading to recent pharmaceutical mergers. Research and development (R&D) costs and crowded therapeutic markets have increased the demand for innovative new products. Global operations have become necessary to expand and recoup development costs for new products. Governmental merger guidelines have changed, permitting unimpeded transactions in the pharmaceutical industry.
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