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The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage PDF

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The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Committee on Technology and International Economic Advantage and Trade Issues of the Office of the Foreign Secretary, Commission on Engineering and Technical Systems, National Research Council ISBN: 0-309-57203-7, 102 pages, 6 x 9, (1983) This PDF is available from the National Academies Press at: http://www.nap.edu/catalog/156.html Visit the National Academies Press online, the authoritative source for all books from the National Academy of Sciences, the National Academy of Engineering, the Institute of Medicine, and the National Research Council: • Download hundreds of free books in PDF • Read thousands of books online for free • Explore our innovative research tools – try the “Research Dashboard” now! • Sign up to be notified when new books are published • Purchase printed books and selected PDF files Thank you for downloading this PDF. If you have comments, questions or just want more information about the books published by the National Academies Press, you may contact our customer service department toll- free at 888-624-8373, visit us online, or send an email to [email protected]. This book plus thousands more are available at http://www.nap.edu. Copyright © National Academy of Sciences. All rights reserved. Unless otherwise indicated, all materials in this PDF File are copyrighted by the National Academy of Sciences. Distribution, posting, or copying is strictly prohibited without written permission of the National Academies Press. Request reprint permission for this book. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html i ald, ne gin he orie retai ginal paper book, not from tmatting, however, cannot bative version for attribution. PThhaer mCoaomcf etpuheteti ciUtailv. SeIn. Sdtuasttursy mposed from XML files created from the oring styles, and other typesetting-specific fornt version of this publication as the authorit PrepareIdnT btheyre tn hIaent fiPLloCuhaneahcanryalmcr IGleaensclsd ee oCnuufns .tT it EcTreaidhcalwo hlP mnaCaronadolsesmo,l, g, R pCyCae hoiptanimpti rioDmvmreetiae ttAntueerrdem voainnn iTtnaeggcehnology en recos, headie the pri Office of thaen dF oInreteigrnna Stieocnraelt aErcyo, nNoamtiiocn aanl dA Tcardademe Iys soufe Esngineering beakus Commission on Engineering and Technical Systems, National n of the original work has nal; line lengths, word bredentally inserted. Please Research Council epresentatioe to the origive been acci s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic NATIONAL ACADEMY PRESS Abotypeand Washington, DC 1983 Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html ii ald, ne gin he orie retai NNaOtTioInCaEl :A Tchade epmroyj ePcrte tshsa 2t 1is0 1th Ce osunbstjietcutt ioofn t Ahivs erneupeo,r tN w.Was Wapapsrhoivnegdto bny, DthCe G20o4v1er8ning Board of the e original paper book, not from tc formatting, however, cannot bhoritative version for attribution. 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Plea epresentatioe to the origive been acci s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic Abotypeand Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html iii ald, ne gin he orie retai Participants at Meetings of the Pharmaceutical Panel, ginal paper book, not from tmatting, however, cannot bative version for attribution. KCPHaECnNAeFoTRlom LuBnEmLdSAai ttCIitRo.e n,Ee VD oiWcne -ATPRreeDcsihSd ne(nCothl, oa TDigrromyan aaadnlned),ds IPo snrIse nLsutiudeefesrknnitn,a & tSi coJreninparpels t tECeclioninco amndi cR easneadrch e oric forhorit WILLIAM NEILL HUBBARD, JR., President, Upjohn Company om thpecifie aut PPHETILEIRP BRAARNTDOONL HPUHT TL,E PEa,r tnPeror,f e Cssoovri nogfto nS oancida lB uMrleindgicine, University of en recomposed from XML files created frs, heading styles, and other typesetting-se the print version of this publication as th ALWPARAEILRICWLUBTHCP(UCLLEHLrIuAieaoISnR lUAFbtlrli RiiyTpvl.RrfMHi Deooe Ws& drrrhA PMsna) eMEWiCSt.itr ia.Hy,Too IO W CMMnSmRIoONAHfLIepe LDGRdCAdaELini,So,KEcc yIc PCaaLALhllSrh EeoMTSAWasfRcriteRSriehA,sbm ,rEos u RRoMaoTnDrneDlTe ,es io Er,SeodNf eafLi acSPce rnLttcaweeoh hl,Fndr se C,iirPp oaPaBaertrn rorpn oocifHetcVafieersseresrsic,dssca os oelUoatr-hrn,Pn , d ir ve SDCesNceirihdsepeiiewanetnyrcf tt emY,oE foex PSnreMrkotco uuegoMtrtrfihca vekePmedr h ni,&Oca CarfT mlfa ChilacCieocef oo.or,l,Rr l lnoe IaigngEnayceldi.,, eks bau ALEJANDRO ZAFFARONI, President and Director of Research, ALZA n of the original work has nal; line lengths, word bredentally inserted. Please RLAapCpCUYoon rriGtpveLoeurrEsraiNttiyoNn THOMAS, Professor, Graduate School of Business, Columbia epresentatioe to the origive been acci s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic Abotypeand Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html iv ald, ne gin he orie retai Additional Participants e original paper book, not from tc formatting, however, cannot bhoritative version for attribution. JJELPD.AALE UMIOUFR ASIAF FLEInRcRCdsY Sci.sMm.eO H oMAnicMMEAcnN.cYeRiIIMsD NLEaDtrR,nLTR a d EEtY,Hi CoTRSARonSRe,usE c,Os sEh,Vi esU nd OtioSiacTtflnecoo,f i triPge c,D nyrDee c iCoisrePrief,eodM ccBRmettoAnaoemrtssr , i,e ioc N taCtf reI e ocnPewhrd,Bu ps uUbauloseln.rrittSeacrdtiae.t e eAurTCs , P ,efo fcPlUnoaahhgifn.nrS arnsoer. i mDslfnDosogrageru,c yp gePA asuSurb,tt buibmclboiFaecctlonto oPtmLM dooam lfabi ncoiCatyurtnoae,fd mate o c PmortfDiufeie rzrsrteeuhcrrgees, om thpecifie aut SUMIYE OKUBO, Policy Analyst, Division of Policy Research and Analysis mposed from XML files created frng styles, and other typesetting-snt version of this publication as th RACO.L ALSFASSFPMFNcccoohn iiiuuaEaRPeeernnlLnnnImAyddEtctVsiiaaaPeKffittIc iisOiiNFccAe,oo ,,Pounn RSutOiTTZnccSRideea,eT Tcclan SOhhtM,ti ennioPNfnaoonioinEclloloo,ui, rcgg f yTaiiPcc cDeAaaotculllin,,hirr caeninylcaaoyg tnnlos oAddAtrg, ,n si acDIIsnnlaoy ittlcvee,s iitrraIs,nnan tiiaaon toettndDiinroo noinnvIafnaa itPsillto eioonrlAAnniaca lffy tffoiaa ofRii ErrnessPac,,sol oe lnaiNNAcorcyaamfhttf iiai Rooacinnrn esaads,lle R AaNerSSncsaccahetiilia eeyorannsncnicchasdeel,, en recos, headie the pri JULIUS SPIRO, Economist, U.S. Department of Labor eks bau Consultant as brese n of the original work hnal; line lengths, word dentally inserted. Plea BSHtEUaNfGfRIGnHetT ese-rHAnaar.R ctihMNo nIEInaL slL tVEitEEcuRotDen,,I o NSEmt,x oieccRc kaeuhnstoeidvla mTerc r,h aDS dwiePr eerIocdstsgeournrae,m s CDoirmecmtoitrt,e e Bouns iTneescsh naonldo gyS oacniadl epresentatioe to the origive been acci MELASRIIEnLt EerINnHaENt iAoRn.TBa,l . EBSceEocAnroeUtmaDriycIN ,a n, dSC tTuordmaydm eD iItistreseuec etosorn, CToecmhmnoitltoegey o na nTde cIhnntoelrongayti oannadl s new digital rbreaks are truerrors may ha STEPEInHctoeArnnNoamItEiioc n aaZnlI dEE cRTorVnaOdoemG IiEscs Lau,ne dsS Tercardeeta Irsys,u e sCommittee on Technology and ut this PDF file: Thisetting files. Page some typographic Abotypeand Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html v ald, ne gin he orie retai Committee on Technology and International Economic and ginal paper book, not from tmatting, however, cannot bative version for attribution. CNh. BaiVRrmiUceCa-nEP rHesAidNenNtA, YR,e sNeTaatrircoahn daalne Ad I cPsasadtueeenmstsy ,( oCBfe TEllnI LgEainTbeoIer)raitnogri Feso r(ereigtinre Sde)cretary and e oric forhorit Members om thpecifie aut WILLIAM J. ABERNATHY, Professor, Harvard University Graduate School of mposed from XML files created frng styles, and other typesetting-snt version of this publication as th JCWJAEH.RC ARDKBBaGAIRBnIEuu epEdLMNosspN RiiErCa.nn Ng C rSeeBhieAE assoalECss ri.YIP , rHp.nA m Ha oEsURndFrtaADieaMmnnRtltDuiW,iivE Aotn DeeCEnAiN rsAo STs(tR,firr TDIt aeDLETyOtt, ui TieSoorNtVc,Iefhn h ,dPiPe N nca)rrhJeono eRaH-ldsrPorti. omhd,gCr de eyaChAsgn caiaaetsdein,rssr ueod omntDSl iciCtcacni,i aansrhailtt ,ap ie TPCni prgaemTsDncu IChaeeiEsnalnlhTin,in ec,IC ida cATl PaIuCPErntooeodTrlfm lseIRe osoFgesnbieosnbi erlee eaolro r fsPcf D, a hETIen nFnevetxgoeeltrliuionnlnpeeadestmai,ro tieainnnongatndl,, en recos, headie the pri MILSTcOhNoo Kl ATZ, Henry L. Stimson Professor of Law Emeritus, Harvard Law eks RALPH LANDAU, Chairman, Listowel Incorporated and Vice-President bau as brese National Academy of Engineering* n of the original work hnal; line lengths, word dentally inserted. Plea JOHUNn Giv.e LrsIiNtyV aInLdL C, Pharoirfmesasno,r , C DTIeEpTarIt mEleenctt roofn Eiclse cPtarinceall Engineering, Stanford epresentatioe to the origive been acci s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic Abotypeand * Formerly, Chairman of the Board, Halcon-SD Group. Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html vi ald, ne gin he orie retai E. RALiYv eMrmcCorLeU LRabEo, rPartoogryra amnd L Ceahdaeirrm, Parne, c iCsiToInE ETnI gMinaecehriinneg TPorooglsr aPma,n Lelawrence ginal paper book, not from tmatting, however, cannot bative version for attribution. BMLMOROAWUNRCCEKTTELELI EL ECST YW.. I T ORF. HeSLOrRTDrBoOE,Eu EDRsPL ArMTeEHSse,i ,tLdC aEe,ol cnsVn otPs,in ucao elntmB-eaPlnrirsutet-c,sT ei edA ceSFhn.L nt,Oo- ClTlodIegO cyAh Pnssloaolnocngiaiynt,eg sM ,a onIndns cMa. naatnona dCg oeCmmheapniartnm*yan, e oric forhorit om thpecifie aut mposed from XML files created frng styles, and other typesetting-snt version of this publication as th en recos, headie the pri eks bau as brese n of the original work hnal; line lengths, word dentally inserted. Plea epresentatioe to the origive been acci s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic Abotypeand * Formerly, Staff Executive, General Electric Company. Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html PREFACE vii ald, ne gin ginal paper book, not from the orimatting, however, cannot be retaiative version for attribution. In August 1976 the CommittPee roen fTaecchenology and International Economic om the oripecific fore authorit arcenoldma tmioTinrtstaehdeiep w tIaosss ucthoeesn cpeeorxtneaenmdt iiwanlei tdeh n:tar epnruemnebuerri alo vf ittaelcithyn oolfo gthicea Ul .Sis.s ueecso noanmdy . tThehier mposed from XML files created frng styles, and other typesetting-snt version of this publication as th •(cid:127)(cid:127) ETcDaUcnRonoafeee.fudutSclveian nho.cec tttnnltliorresooosiim veep;nlo oessmsapf lgh n(esteyLi detoponi cDtafsftih n vC(enbdOemsoten h)Eiltpe toewaCssl gno seDeyd yeOif nm)nftt;rerh agewtceennat oc isntom;rhfilnezndpr ao t attorlciraoonatdg n dotei ehcf ; beat f ihelodm tiirwesnp vtneareeEocalnotnvcs psao tfotmhneifeoore ntmnUoe tncian cho niU ntfde .ot SdChUl o.eoS .tg oSrtlyaeap. tsdeaepserns-ra dodwtaied noitvutrdnhaec dltotoihetvaph eionesetnddyer en recos, headie the pri (cid:127) Trade and technology exports in relation to U.S. national security. eks In its 1978 report, Technology, Trade, and the U.S. Economy,* the bau as brese committee concluded that the state of the nation's competitive position in world epresentation of the original work he to the original; line lengths, word ve been accidentally inserted. Plea ttdfdwUhrueoanaarpmdtstihe,t e eenep asdirdrsst esi Saccs atp eo arernnceticetofcmeolslned nuaisc odsretdi meiqlnouyduoynr etiu ntnoiaphsgcfsoa e tttnvt,h hh ieoeigtemh no hseesrpet ot aariuuotmoldetsvfh yp eao rtomsfohtf oveie it t nen hiommdtne nud oeadcsifnjecot ortt am riwhta oeeelaff sa sdtito.chnio ctuTanmo rtoher evscepts ho aoctaetnisoicf ooimf itmneeniomcc.ny ntooCii. nn tviTtoogneanhm e tisei tonriyh decnt.ee ceo Trorpmhnahmrbeamoeatl cieilcoett othsneems ave oli mi sdfntt eria tanotttdheecudeeeer s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic of *a N Watioornkaslh Rope sehaerlcdh aCt ouWnociold, s1 9H78o.l eT, ecMhnasoslaocghyu, sTerttasd, e,A aungdu tsht e 2U2.-S3.1 E, c1o9n7o6m. yN. Rateiopnoartl Abotypeand Academy of Sciences, Washington, D.C. Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html PREFACE viii ald, ne gin he orie retai mofe nthdee dU t.hSa. t gfouvrtehrenrm weonrtk p boeli cuineds eartnadk epnr atcot ipcreosv itdhea ta mmaoyr eb edaert aoilne dt eecxhanmoilnoagtiicoanl ginal paper book, not from tmatting, however, cannot bative version for attribution. isfnoenrlliooevswT a(cid:127)(cid:127)(cid:127)iht on i e ofgTT Tnf hhiap.hrreesuee tb IIa nmplIsimth:sepahrpasencaedatc totoi fomf o nsRofta unelTd ogTyaguex rlbcaa ahtpaisnhoneosndd l oootFghnniya n It tanhT ndearc audoinsdartsirlrfg eieaiRsrnls eaePIglndr uorn elcogacevotosoavmsrte.yi*mor nnPem.n*oedlinactti ieopsn osol irnce iseIusnl dteiunds tirtniha eal e oric forhorit Innovation.* om thpecifie aut (cid:127) Antitrust, Uncertainty, and Technological Innovation.* en recomposed from XML files created frs, heading styles, and other typesetting-se the print version of this publication as th sPftoipdbshneetneerauredrosen ridsucsnaoeeeiprs suleTA itses ospssr hectsoi c twuac timitcfssaohdlt ue o enaifprrrpaerott eeroa-d asoir pbll nwrv faiswfoty cga,l uetr- syoan hrtrmsoa s ftteeeha o no a cttsgeindochpctenreo o h ett d( itar tn io1heu tnfurdon)eobecsep u s htrai rpmdct atsnbyeothnaieoeyc,asonnat l,dhl il( rodt cst2 nim(shg i,fa2)ot pyesi uasa)lcaca oc ndgatcentregedillhone eu odi acemlascftb ash ,riiaa satbcmisaleeosela een a isslarcstgtoc s sthhnoimehce,tniodn o ce ftades dp teu nsenuo taxdr o dtsptrnote hs iti hesofnirlhae neclyafgdiir sr dsfn d dti,teiudhbf isesr naas ueeev onc tio ssernfttddstanilho r a yo lewieriaatlnapns e pudol,aoentr pteemnrdtfeoaeakr va xmnnscri( etcte1idahib lox vlt)o ndyc.ib e (poohe aiTi 3nmntclla fh)ehobdaanu seiegrdulgtsa,n i iu es eesocctetr,csfs.abro el e oyleajmshts em-hcn cisscptsadaf mprttoetp foioe vtur(iahnrci 3tetctiatiiuti)c ecifhvv otraiesyeaeceefl,. eks bau industry. The primary charge to the panel was to develop a series of policy n of the original work has nal; line lengths, word bredentally inserted. Please oifaanrngpovdetmion oslc TTnvuoysimhhu n aeettgmon s diddambdr ireecasie e ofctcttshunoih nosgonesgdrf sie opiocsdwlanusoensoirgroer rebyenlkd en a w ttbloow dhyfnre eeo bepl ttihnoharbe etite(hsts 1er e asnp)rn ttedueutipaoebxdotdnlpiiir evsecta se raas twsns n i rdpandne rsc aose plomvsdurueeiodevnrrnedcsatde iiettnge ogb hpa pt yte coh reuslesDfier ocfprrornyeia.re smnnts,Lst e a .aalgko,nco ef(ydvr 2 se)pG(. r3ianln)nem vengielnto ne vmdtTae helre nxeovmtpmiieenewargnstssst, epresentatioe to the origive been acci Cadthneoeldlii ubrr meethrsbaroetiuiaeor cUnmesn e,a ietvshtseiainrstsg tiwastn.yec.r eeP arrose fvweiseeswlol era dsT aphnroodmd caursci tiwinqgau sae drse ebsrpyieo tsnh soeif b pdlaern afefotls rm, pberaomsvebidde rionsn ga ttrh eeesa epcaahrn coehfl s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic * Available from the National Academy of Engineering, Office of the Foreign Abotypeand Secretary, 2101 Constitution Avenue, N.W., Washington, D.C. 20418. Copyright © National Academy of Sciences. All rights reserved. The Competitive Status of the U.S. Pharmaceutical Industry: The Influences of Technology in Determining International Industrial Competitive Advantage http://www.nap.edu/catalog/156.html CONTENTS ix ald, ne gin ginal paper book, not from the orimatting, however, cannot be retaiative version for attribution. Contents e oric forhorit Summary 1 om thpecifie aut 1 Overview of U.S. Pharmaceutical Industry 7 mposed from XML files created frng styles, and other typesetting-snt version of this publication as th 2 ComENBORIPSnrameeavpnolnsteeeodeueertsvruarivfgteairciite ctevtsoiinhwe oofac nn PnPea dohno sadfRir ttmLiihsoiekanm cs M oeiotufaof tt TdiTicoeheanreclns hU C Pon.ofhiS cmat.ah rpPlmi sehC ataSihctrtiaemuonudnagtyiceceaul tIicnadlu Isntrdyustry 11122233247137227 en recos, headie the pri STtrraudceture 3477 eks Summary 49 bau as brese epresentation of the original work he to the original; line lengths, word ve been accidentally inserted. Plea 3 DetLMNGIIISennnuareadddambmntuuurioekoisssmrnretttn arrrataCaiii lnraaaG loyR tlllSss rePPPto cosloooiwafelllt ntiiiiNhcccvtyyyiaef:::t i iDcRTTo enCareacxagadllauip entPlaiaeohct naiiotoryfmn Ua.cSe.u Itnicdauls Ctryompetitive Advantage 555555666334557789 s new digital rbreaks are truerrors may ha ut this PDF file: Thisetting files. Page some typographic Abotypeand Copyright © National Academy of Sciences. All rights reserved.

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