Pharmaceutical Industry
NERA has provided economic analysis in testimony and written reports to many of the leading international research-based and generic pharmaceutical companies. We have performed competitive analyses of proposed acquisitions involving pharmaceutical companies as well as estimated damages or costs in contract, antitrust, patent, and regulatory matters. We also have expertise in providing companies with economically sound transfer pricing methodologies and strategic planning advice. Our work has encompassed both chemical based and biotechnology products. In our pharmaceutical work, we have:
- Analyzed market definition and entry conditions in horizontal mergers involving pharmaceutical manufacturers as well as pharmaceutical wholesalers;
- Analyzed the competitive impact of pharmaceutical companies acquiring pharmaceutical benefit managers;
- Calculated damages in a wide variety of antitrust, contract dispute, and patent infringement matters in the pharmaceutical industry;
- Assessed market definition, market share, and entry conditions in antitrust counter-claims, which often evolve in patent infringement cases;
- Made presentations to the federal antitrust agencies on the competitive effects of brand elimination and innovation markets;
- Advised pharmaceutical companies on the business implications of competitive trends, regulatory changes, and health care reform;
- Conducted transfer pricing studies for pharmaceutical firms under US, OECD, and foreign tax guidelines; and
- Conducted public policy studies on intellectual property protection, parallel trade, health care reform, Medicare prescription drug proposals, and pricing investigations as they affect the pharmaceutical industry.
NERA also participates in policy discussions concerning the risks and returns of pharmaceutical research and development, and advises pharmaceutical companies on the business implications of competition, regulation, and health care reform. Our economists analyze emerging public policy issues such as the effects of regulatory delays in approving pharmaceutical products on public health and consequences of developing countries ignoring TRIPS standards on local pharmaceutical industry growth. Our economists also provide analysis of the strength of intellectual property protection and its implications for drug prices and the pace of pharmaceutical research around the world, valuation of research and development pipelines, and pricing of tangible and intangible assets in intracompany and intercompany transactions.
Our experts also are experienced in the assessment of economic costs and benefits of therapeutic studies, the comparative evaluation of alternative means for controlling pharmaceutical costs by competitive and regulatory means, and assistance in evaluating reimbursement methodologies. Our experts advise on transfer pricing, valuation of patents, questions related to efficiency, cost containment, intellectual property rights, and industrial policies that support a strong research-based pharmaceutical industry by providing commentary and analysis of the requirements of an equitable and efficient health care system and how reform efforts impact the pharmaceutical industry.
