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However, many factors impact the continued success of Pfizer and the pharmaceutical industry in general. After reviewing these factors, it is our recommendation that Pfizer focus on short-term consolidation and long-term global expansion into emerging markets while focusing research and development efforts in the biotech sector.
Market Structure
Since the 1950s, the global pharmaceutical industry has evolved from “…a collection of several hundred, small, barely profitable firms to as small group of large, highly profitable firms” (Younkin, 2008, para. 1). This evolution has resulted in an oligopoly market structure with a few large firms, and significant barriers to market entry...
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