Abbreviated New Drug Application Essays

Teva Case Study

QUESTION 1 Structure of the Generics Industry using Porter’s five forces 1. Threat of new entrants – Low a. High capital requirements –Research and development costs typically around $30-50B per year for large companies; Sales and marketing when drugs are marketed cost 30-35% of firm’s revenues; Lead time for generic product development takes three to five years; new entrants need to gain access to distribution channel. b. Incumbency advantages independent of size – Incumbents releases their own “authorized generic” during…

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