The pharmaceutical industry currently represents a huge paradox. Whilst the pursuit
 
of critical mass has driven consolidation and brought about the creation of mega-companies
 
such as Pharmacia, GlaxoSmithKline and Pfizer, the industry as a whole and its
 
markets remain highly fragmented. Similarly, consolidated companies have missed
 
opportunities to re-engineer their processes, build greater brand effectiveness
 
and, in fact, remain fragmented internally. The brand new report by Reuters Business
 
Insight, The Pharmaceutical Industry Paradox - A strategic analysis of the countertrends
 
of consolidation and fragmentation provides critical insights into the marketing
 
and R&D implications of these key industry shifts. The report utilises an
 
extensive survey of industry executives to pinpoint the strategic implications
 
for industry players, providing the key data and analysis of strategies adopted
 
by leading companies seeking to optimise both their current position and future
 
prospects.

EXECUTIVE SUMMARY

CHAPTER 1: INTRODUCTION

• Market fragmentation now

• Market fragmentation five years ago

• Market fragmentation in the future

CHAPTER 2: BACKGROUND

CHAPTER 3: DRIVERS OF FRAGMENTATION

• Overview

• Impact on R&D

• Is micro-marketing on the horizon?

• Opportunities in diagnostics

• Impact on blockbuster model

• Will me-toos be through?

• Generics

• Other considerations Information chaos

• Healthcare information overload?

• Challenges and opportunities

CHAPTER 4: DRIVERS OF CONSOLIDATION

• The US

• Europe (EU-15)

• Japan

• Product portfolio expansion

• R&D productivity and scale

• Sales force expansion

• Cost reductions

• New targets

• Knowledge fragmentation

• Product fragmentation

• Service fragmentation

• Strategic impact

• Overview

• Strategic impact

• Removing barriers to trade

CHAPTER 5: LEADING COMPANY ANALYSIS