Abstract Constantly rising expenditures for pharmaceuticals require government intervention in firms’ pricing decisions. To this end, reference systems are a frequently employed regulatory mechanism. This paper considers duopoly market with vertically differentiated firms highlighting the effects of system on prices, consumer and producer surplus, welfare. Reference decreases equilibrium prices...

Abstract Understanding the actions taken by pharmaceutical companies to counter competition requires information on how sector is built. The market, mentioned in this paper, contains all that produce or develop pharmaceuticals compounds are used drugs and other participants interact with those for purpose of selling buying a drug. It also necessary understand market importance an economy mainta...

The rise of blockbuster pharmaceutical acquisitions has prompted fears that unprecedented market concentration will weaken competition. Two of the most prominent concerns focus on the upstream and downstream ends of the pharmaceutical industry: (1) the concern that these mergers will concentrate the market for discovery and will therefore lead to fewer discoveries; and (2) the concern that merg...

The paper provides an overview of current situation of the global pharmaceutical industry, with focus placed on the EU pharmaceutical market, including also the Romanian pharmaceutical market evolution synthetized into a SWOT analysis. As main goal the paper identifies several financial performance influence factors at the level of a number of companies from pharmaceutical sector, in order to g...