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sufficient investment is left after mergers to further develop firms' internal drug development capability. We evaluate the … effects of M&As on firms' post-merger R&D investments and drug development capabilities across drug development phases. This … study builds on a novel database that enables us to evaluate the post-merger effect at the research project level and across …
Persistent link: https://www.econbiz.de/10012219372
The Covid-19 pandemic tragically emphasized severe failures of health systems. In particular, the saturation of hospital infrastructures and the lack of medical devices is crucial for respiratory ventilators. The medical and pharmaceutical sectors had to find urgently new ways to innovate...
Persistent link: https://www.econbiz.de/10014308369
efficiencies of size, and significant merger and acquisition activity. It also argues that several common “fragmentation drivers …
Persistent link: https://www.econbiz.de/10013213690
To examine the drivers of innovation, this paper studies the global R&D effort to fight the deadliest diseases and presents four results. We find: (1) global pharmaceutical R&D activity - measured by clinical trials - typically follows the 'law of diminishing efforts': i.e. the elasticity of R&D...
Persistent link: https://www.econbiz.de/10012430944
Pharmaceutical firms spend billions of dollars to develop the next breakthrough drug and to maintain their market shares. We investigate how pharmaceutical firms use mergers and acquisitions to boost their innovation performance which has been found to result in better performance outcomes....
Persistent link: https://www.econbiz.de/10012502063
The paper clarifies how sunk costs can lead a rational incumbent to innovate less than an entrant. It also demonstrates that competition among incumbents yields less adoption of new and more efficient production technology than competition which includes entrants. The results suggest that policy...
Persistent link: https://www.econbiz.de/10012996869
Persistent link: https://www.econbiz.de/10013170079
“reference mode”, determined the causal loop of the pharmaceuticals phase of PLC based on both an in-depth literature review and …
Persistent link: https://www.econbiz.de/10012801597
Persistent link: https://www.econbiz.de/10011523939
We provide a theoretical framework to contribute to the current debate regarding the tendency of pharmaceutical companies to direct their R&D toward marketing products that are "follow-on" drugs of already existing drugs, rather than toward the development of breakthrough drugs. We construct a...
Persistent link: https://www.econbiz.de/10011406575