eprintid: 667
rev_number: 14
eprint_status: archive
userid: 2
dir: disk0/00/00/06/67
datestamp: 2011-06-30 14:23:56
lastmod: 2011-08-31 14:40:39
status_changed: 2011-06-30 14:23:56
type: article
metadata_visibility: show
item_issues_count: 0
creators_name: Pammolli, Fabio
creators_name: Magazzini, Laura
creators_name: Orsenigo, Luigi
creators_id: f.pammolli@imtlucca.it
creators_id: 
creators_id: 
title: The intensity of competition after patent expiry in pharmaceuticals. A cross-country analysis
ispublished: pub
subjects: HB
subjects: RM
subjects: T201
divisions: EIC
full_text_status: public
abstract: This paper shows that the relationships between the dynamics of drug priees, patent expiry, and competition by multisource
drugs vary significantly across countries. A clear distinction seems to emerge. On the one side, systems that rely on market
based competition (particularly the US) promote a clear distinction between firms that act as innovators and firms that act as
imitators after patent expiry. Original products enjoy premium prices under patent protection, and face fierce price competition
after patent expiry. On the contrary, systems that rely on administered prices (particularly France and Italy) nurture strategies of
pre-emptive brand proliferation and horizontal differentiation by imitative brand name products, well before patent expiry. Our
work confirms that that systems that rely on administered prices have tended to stifle price competition, to protect less efficient
companies, and to encourage strategies of incremental innovation and imitation.
date: 2002
date_type: published
publication: Revue d'economie industrielle
volume: 99
number: 1
pagerange: 107-131
id_number: 10.3406/rei.2002.1829
refereed: TRUE
issn: 0154-3229
official_url: http://www.persee.fr/web/revues/home/prescript/article/rei₀₁₅₄₋₃₂₂₉₂₀₀₂num₉₉₁₁₈₂₉
citation:   Pammolli, Fabio and Magazzini, Laura and Orsenigo, Luigi  The intensity of competition after patent expiry in pharmaceuticals. A cross-country analysis.  Revue d'economie industrielle, 99 (1).  pp. 107-131.  ISSN 0154-3229      (2002)  
document_url: http://eprints.imtlucca.it/667/1/intensity_competition_2002a.pdf