Establishing a Drug Pricing Strategy

An effective drug pricing strategy requires sustained corporate planning to understand and establish fair pricing in each market where a product is or will be commercialized. This strategy necessarily must include early planning at the development stage, close monitoring of legislative and regulatory pricing reforms in key markets, cross-functional and cross-jurisdictional collaboration across multiple disciplines within an organization, and sensitivity to political sentiment surrounding drug prices. The following checklist outlines high level action items, structural considerations, and substantive issues for pharmaceutical companies and their investors to consider to establish a thoughtful, holistic, and resilient drug pricing strategy for their development programs.