When brand-name companies began making aggressive efforts to get into the generics business several years ago, many industry gurus questioned the fate of independent generic competitors. The brand-name companies, or so it appeared, had resources, regulatory expertise and knowledge of managed care buyers that independents lacked; particularly attractive to the new purchasers of pharmaceuticals would be their ability to leverage broad product lines featuring both branded and generic products into one-stop shopping opportunities. But the generics market has been harder to crack than the brand-name companies expected. The independent companies, on the other hand, particularly those with well-established reputations and broad product lines, are, by and large, thriving. Now that the tables are turned, some industry experts wonder: Should brand-name companies own generics businesses at all?
The answer is a mixed bag, with industry experts lining up on both sides of the debate. Right now, the...
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