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Multinationalization in the pharmaceutical industry as a response to national health policies
Author(s) -
Heiduk Günter
Publication year - 1982
Publication title -
managerial and decision economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.288
H-Index - 51
eISSN - 1099-1468
pISSN - 0143-6570
DOI - 10.1002/mde.4090030405
Subject(s) - subsidiary , foreign direct investment , german , business , pharmaceutical industry , industrial organization , competitive advantage , international market , international trade , international economics , international business , market economy , multinational corporation , economics , marketing , finance , microbiology and biotechnology , management , macroeconomics , history , archaeology , biology
This study shows that from the viewpoint of the German pharmaceutical industry the French and Italian markets require an unusual corporate international strategy. Foreign subsidiaries export bulk chemicals and semi‐processed drugs. Regulation favouring direct foreign investment results in foreign affiliates carrying out nearly the same range of activities as their parent companies. Entry into these markets is thus deterred. Some conclusions are drawn on the consequences of such international competitive restrictions as they effect the market performance of international competitive processes.