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Generic Medicines: Solutions for a Sustainable Drug Market?

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  • Pieter Dylst
  • Arnold Vulto
  • Brian Godman
  • Steven Simoens

Abstract

Generic medicines offer equally high-quality treatment as originator medicines do at much lower prices. As such, they represent a considerable opportunity for authorities to obtain substantial savings. At the moment, the pharmaceutical landscape is changing and many pharmaceutical companies have altered their development and commercial strategies, combining both originator and generic divisions. In spite of this, the generic medicines industry is currently facing a number of challenges: delayed market access; the limited price differential with originator medicines; the continuous downwards pressure on prices; and the negative perception regarding generic medicines held by some key stakeholder groups. This could jeopardize the long-term sustainability of the generic manufacturing industry. Therefore, governments must focus on demand-side policies, alongside policies to accelerate market access, as the generic medicines industry will only be able to deliver competitive and sustainable prices if they are ensured a high volume. In the future, the generic medicines industry will increasingly look to biosimilars and generic versions of orphan drugs to expand their business. Copyright Springer International Publishing Switzerland 2013

Suggested Citation

  • Pieter Dylst & Arnold Vulto & Brian Godman & Steven Simoens, 2013. "Generic Medicines: Solutions for a Sustainable Drug Market?," Applied Health Economics and Health Policy, Springer, vol. 11(5), pages 437-443, October.
    • Handle: RePEc:spr:aphecp:v:11:y:2013:i:5:p:437-443
    DOI: 10.1007/s40258-013-0043-z
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    References listed on IDEAS

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    1. Frank Windmeijer & Eric de Laat & Rudy Douven & Esther Mot, 2006. "Pharmaceutical promotion and GP prescription behaviour," Health Economics, John Wiley & Sons, Ltd., vol. 15(1), pages 5-18, January.
    2. Lundin, Douglas, 2000. "Moral hazard in physician prescription behavior," Journal of Health Economics, Elsevier, vol. 19(5), pages 639-662, September.
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    1. Mondelo-García, Cristina & Mendoza, Elvia & Movilla-Fernández, María-Jesús & Coronado, Carmen, 2018. "Perceptions of pharmacists and physicians on generic substitution in a financial crisis context in Northwestern Spain: A qualitative study," Health Policy, Elsevier, vol. 122(12), pages 1316-1325.
    2. Kanavos, Panos, 2014. "Measuring performance in off-patent drug markets: A methodological framework and empirical evidence from twelve EU Member States," Health Policy, Elsevier, vol. 118(2), pages 229-241.
    3. Ulrik Hesse & Brian Godman & Max Petzold & Andrew Martin & Rickard Malmström, 2013. "Impact of Delisting ARBs, Apart from Losartan, on ARB Utilisation Patterns in Denmark: Implications for Other Countries," Applied Health Economics and Health Policy, Springer, vol. 11(6), pages 677-685, December.
    4. Caijun Yang & Lina Wu & Wenfang Cai & Wenwen Zhu & Qian Shen & Zongjie Li & Yu Fang, 2016. "Current Situation, Determinants, and Solutions to Drug Shortages in Shaanxi Province, China: A Qualitative Study," PLOS ONE, Public Library of Science, vol. 11(10), pages 1-16, October.
    5. Ezgi Demir & Peter M. Bican, 2023. "Patents and Sustainable Medical Treatment in Developing Countries: Lessons from COVID-19 Vaccines," Sustainability, MDPI, vol. 15(4), pages 1-19, February.

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