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Generics Erosion Patterns in the U.S. Market
Decision Resources, Inc., April 2007, Pages: 22
With an estimated $51 billion of branded drugs coming off patent between 2006 and 2011, both U.S. government insurance plans and private, third-party payers will promote increased use of generics in the future. In a data-rich report that employs analyses of 34 branded drugs facing generics competition between January 2002 and December 2006, we highlight the most effective strategies employed by pharmaceutical companies in their effort to ward off the threat of generics competition.
Get the Answers You Need to Shape Your Strategy:
- Several factors determine how quickly a branded product loses market share. Which of these factors is particularly likely to lead to big paydays for generics manufacturers? Under what circumstances can the effects of this critical factor be muted?
- After Zithromax lost patent protection in the United States, Pfizer entered the generics market for Zithromax through its own generics subsidiary. How successfully did Pfizer’s subsidiary fend off erosion of prescription share for Zithromax? What lessons can other drug companies take away from Pfizer’s strategy?
- Merck employed an unusual pricing strategy in order to retain its market share for Zocor, after generics entered the market for the branded product. How successful was Merck in delaying erosion of Zocor’s market share?
- Oral solids typically experience generics erosion at a different rate than other drug formulations (oral liquids, nasal products, and patches). What factors account for this difference?
Scope
- Methodology: thirteen figures and two tables delineating the data of generics erosion for 34 drugs between 2002 and 2006.
- Patterns of generics erosion: rates of erosion for oral solids, oral liquids, and injectables; factors determining rates of erosion; branded products grouped by their erosion rates.
- Exceptions to traditional generics erosion: drugs that did not follow traditional patterns of erosion.
- Outlook: Data from the Centers for Medicare & Medicaid Services (CMS); pending U.S. legislation.
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