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Economic Forecast for Pharma: Winter Weather Advisory Ahead

Pharma has weathered its share of economic downturns, but the data shows that the industry could be in for a tough winter. Prolonged cutbacks by consumers failing to refill prescriptions in tough economic times could become yet another obstacle for drug manufacturers already facing plenty of challenges in the coming year in the form of patent expirations, lackluster pipelines and stricter regulatory oversight.

Pharma has weathered its share of economic downturns, and the industry is widely regarded as one investors bunker down with during a recession –patients always need medicines, the theory goes. But this time around, the familiar reassurances sound a little less comforting.

That’s because more data is emerging showing that patients are cutting back on drug spending, choosing not to refill prescriptions,...

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