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Health Care, Pharmaceuticals Article, blockbuster drugs
Article at a glance:

The search for blockbuster drugs

Drugmakers don't have to be the first company to deliver blockbuster drugs: follow-ons that improve the original are often just as profitable, and sometimes more so. Just making drugs more effective rarely adds value, but reducing their side effects or extending their applications to other ailments often does.

The take-away

Pharmaceutical companies that make massive investments to discover revolutionary blockbuster drugs would probably see better returns by enhancing existing compounds.

This article includes the following exhibits:
  • Exhibit 1: Drug sales of four marketing strategies compared
  • Exhibit 2: Postlaunch drug differentiation—four examples
  • Exhibit 3: Degree of distinctiveness among blockbuster drugs

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