McKinsey: on the first mover advantage in the field of Medicine

Source: on September 18, 2014, Bio Valley always took it for granted that "first to market" has advantages when talking about the new generation of drugs coming to market What's wrong with this? At the time of news release, pharmaceutical companies can promote as "first in class" products, and the sales and marketing teams will have more advantages than any competitors who enter the market later What's the question? But McKinsey reports that first mover does have advantages, but it depends on the subtle market environment If you are a small company, it's better to find a big tree! For a long time, there has been a dispute about the value of "first listing" advantage in the pharmaceutical industry Pharmaceutical companies often spend too much resources, trying to improve the possibility of beating competitors, but at the same time, they often worry about the business disadvantage when entering the market In the high-risk competition for the first new drugs, pharmaceutical companies firmly believe that even a month ahead of their competitors is crucial This may explain why Sanofi is willing to spend more than US $60 million in the PCSK9 immunization competition to buy accelerated evaluation vouchers, so as to catch up with Amgen and win the first prize McKinsey, the world's most famous management consulting firm, is determined to find out Recently, a new report released by McKinsey pointed out that pharmaceutical companies spend a lot of money, time and manpower to defeat all other competitors who have crossed the finish line However, if the new drug does not achieve the expected results after its launch, the investment may not be able to achieve the high return expected by executives Through analysis, McKinsey confirmed the industry's doubts that "first listing" does have advantages Even after 10 years of listing, the first entrant often enjoys a larger market share than the follow-up entrant, with an average of 6 percentage points higher (Figure 1) Among the follow-up entrants, the relative disadvantages of the second to fifth entrant are roughly the same (Figure 2), which means the fifth The entrants are not significantly inferior to the second entrant; however, the advantages of the first listing are highly dependent on the nuances of the market environment (Figure 3), and the dividends are also very different In fact, in many cases, the advantage of being the first to go public actually disappears, especially if the lead time is too short or the first entrant is a small company.