2023. 5, 22
Nagoya City University analyzes strategies for international expansion of pharmaceutical companies considering company size and area of expertise
A research group at Nagoya City University has clarified, through research on international expansion strategies of pharmaceutical companies, that emphasis on therapeutic areas is an effective strategy for small and medium-sized enterprises, and that emphasis on regions is an effective strategy for large corporations.
Geography and therapeutic area focus are important considerations in the formulation of pharmaceutical company strategy.However, until now, regional strategies and therapeutic area strategies have been considered separately, and the usefulness of combined strategies was unclear.The research group examined the relationship between the two strategic pillars of region and therapeutic area, taking into account company size.
In the study, the top 2018 pharmaceutical companies by total sales in the global market in 50 were analyzed from 2010 to 2018 with data on total sales, sales by region, and sales by area of ethical drugs. rice field.
As a result, among medium-sized companies and SMEs, the total sales of companies that adopted therapeutic area focus strategies increased.It was suggested that resources should be concentrated in specific therapeutic areas as a future expansion model for pharmaceutical companies.In addition, if it becomes a highly specialized pharmaceutical company, it will be able to aim for further growth by expanding internationally without expanding therapeutic areas and modalities more than necessary.
Among large companies, companies that adopted a region-focused strategy showed marked improvement in performance.The superiority of the new global franchising model, in which a company concentrates on regions where it has strengths and where future growth is expected, and advances into other regions through alliances with other companies, was demonstrated.
The pharmaceutical industry is a knowledge-intensive global industry, and international expansion is essential.These findings highlight the limitations of the traditional global pharmaceutical model from 2004 to 2018 and can contribute to future corporate strategy planning for these companies.
Paper information:【Drug Discovery Today】Strategic trends of pharmaceutical companies: A growth model through regional focus and inter-regional alliances