It has been said that the market is going to reward companies that have sound business plans and premeditated strategies. While the wild drunken party on Wall Street may be over but e-business marches on. But not all companies will make it. Therefore it is important to distinguish the winners from the losers. Despite all this shakeout, it s clear that e-business offers huge opportunities for the select group of companies that do manage to thrive over the long term.
Pharmaceutical industry is different from other industries in a few ways.
First and foremost is that it is heavily regulated. Thirdly, it thrives on expensive and risky research. Lastly, it has relatively been shielded in the developed world, from the pricing pressures that are experienced by other industries. Until recently, doctors prescribed drugs without any constraint of costs, which were reimbursed by private or public payers. The sequential margins of the manufacturers, wholesalers, distributors, and retail pharmacists were not under pressure in the old economy.