Pharmaceutical giants being forced to rethink business models; study

Pharmaceutical companies must diversify their business models away from selling products, and urgently focus sales strategies on expanding revenues from emerging markets, a new study from strategy consultants Roland Berger reveals.

The report, Pharma at the Crossroads, is the result of research among 50 senior decision makers in the world's leading pharmaceutical firms. The research paints a picture of an industry undergoing fundamental change. This is being driven by new registration procedures and fiercer price competition due to the restructuring of health care systems in different regions of the world.

David Stern, managing partner, Roland Berger UK, comments: "the pharmaceutical industry does not have a clear vision for the future. The answers to certain fundamental questions may make or break the players in the industry over the coming years."