Analysis: Drug industry doses up on emerging markets
Thursday, November 11, 2010
(Reuters) – Big Pharma’s drive into emerging markets could make drugmakers look a lot more like consumer goods companies in future. That may be no bad thing.
Emerging markets are the new battleground for pharmaceutical companies as sales stall in Western markets, but the focus on volume makes them a very different business proposition to premium-priced markets in the United States and Europe.
Kris Jenner, who runs the T. Rowe Price Health Sciences Fund, believes it gives drugmakers the opportunity to build steady, long-term revenue streams more normally associated with fast-moving consumer goods companies.