Marktanalyse - The 'Patent Cliff': How Pfizer has responded to the loss of its best-selling drug

Introduction

The pharmaceuticals market was worth $733bn in 2010. The top four market players (Pfizer Limited, Merck & Co., AstraZeneca, and GlaxoSmithKline) had a market share of 22.3%. Pfizer has been involved in many mergers and acquisitions. With some of these acquisitions came the rights to blockbuster drugs such as Lipitor (produced by Warner-Lambert) and Prevnar (produced by Wyeth).

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Highlights

The largest generics market in Asia is China, where generics grew to account for 62% of the total domestic pharmaceuticals market in 2008, from 54% in 1999. By 2015, China is predicted to become the world's second largest pharmaceutical market .
In 2011, Lipitor, Zyprexa, Levaquin, Concerta, and Protonix lost their patents. In 2012, Plavix, Seroquel, Singulair, Actos, and Enbrel will lose theirs. These 10 drugs alone had US sales of $30.5bn in 2010.
Big Pharma R&D spending hit 18% of total revenues between 2001 and 2007, but productivity declined by 20%.

Your key questions answered

* How is the generic pharmaceuticals market performing?
* How has the loss of patents affected Pfizer's revenues?
* How have pharmaceuticals companies reacted to the patent cliff?
* How successful are current research and development efforts?

OVERVIEW

Catalyst

Summary

ANALYSIS

Pharmaceutical market overview

The pharmaceuticals market has experienced strong, steady growth

Generics are becoming increasingly popular, particularly in 'pharmerging' countries

Many of the world’s best-selling drugs are losing their patents

Johnson & Johnson is diversifying its operations

Research and development productivity is in decline

Many companies are engaging in M&A activity

Pfizer has acquired companies that have existing products

In 2000, Pfizer acquired Warner-Lambert and its best-selling drug Lipitor

Pfizer’s acquisition of Wyeth allowed it to diversify its product portfolio

Pfizer acquired King Pharmaceuticals, a company with a painkillers focus

Pfizer is responding to the increasing value of pharmerging markets

CONCLUSIONS

Generics and pharmerging markets may change the face of the pharmaceuticals market

APPENDIX

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• Consumer Health in Canada
• Consumer Health in Hong Kong, China
• Consumer Health in Turkey
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• ICT Spend Predictions in Large UK Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Large US Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Medium-sized Brazilian Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Medium-sized Canadian Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Medium-sized French Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Medium-sized German Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Medium-sized Mexican Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Medium-sized UK Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Medium-sized US Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Small Brazilian Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Small Canadian Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013
• ICT Spend Predictions in Small French Pharmaceutical Companies - Estimated ICT budget breakdowns in 2013