Speed to Global Markets: An Empirical Prediction of New Product Success in the Ethical Pharmaceutical Industry

Abstract

Speed in new product introduction is a critical dimension of competition facing many firms in high‐tech industries. This is especially becoming more evident with shorter technological life cycles and increasing global competition. The dependent variable of interest studied is pharmaceutical firms′ ability to develop global new chemical entities (NCEs). Defines global NCEs as drugs that are approved in six major industrialized countries within four years of introduction. Using logistic regression, four variables were found to have a significant influence on firms′ ability to develop global NCEs: technological familiarity, product differentiation, competitive intensity and internal R&D skills. Discusses the managerial implications of these findings.

Citation

Yeoh, P. (1994), "Speed to Global Markets: An Empirical Prediction of New Product Success in the Ethical Pharmaceutical Industry", European Journal of Marketing, Vol. 28 No. 11, pp. 29-49. https://doi.org/10.1108/03090569410075803