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The valuation of pharmaceutical brands

In: Brand Medicine

Author

Listed:
  • Nick Liddell

    (Interbrand)

Abstract

The investment community’s interest in the pharmaceutical industry has led to high stock market valuations for businesses that succeed in the sector. Such businesses have in the past amply repaid their investors, reflected in increased profits, dividends and share prices. The industry has relied for these profits on the ability of drug companies to pass on rising drug costs to the consumer in higher prices. This ability to charge high prices arises from the economic peculiarity of the industry.

Suggested Citation

  • Nick Liddell, 2001. "The valuation of pharmaceutical brands," Palgrave Macmillan Books, in: Tom Blackett & Rebecca Robins (ed.), Brand Medicine, chapter 0, pages 27-44, Palgrave Macmillan.
  • Handle: RePEc:pal:palchp:978-0-230-52251-0_3
    DOI: 10.1057/9780230522510_3
    as

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