(Source: Business Wire)
Today, URCH Publishing launches a comprehensive new report covering the distribution of medicines in the United States. "Pharmaceutical Distribution in the US - Current and Future Perspectives" shows how the US pharmaceutical wholesale sector has witnessed a rapid wave of consolidation to reach its current concentrated form dominated by three major full-line companies, namely Cardinal Health Inc., McKesson Corporation and AmerisourceBergen Corporation. Known collectively as the Big Three', these companies now account for between 90% and 95% of revenue within the sector.
Over 100 buyouts have taken place since 1980, and at least 57 have occurred over the past decade, but despite their dominance of the market the Big Three continue to look for further acquisitions, and market conditions favour a trend towards further consolidation, notes the report. However, the dominance of the Big Three has persuaded the Federal Trade Commission to re-examine their activities. Although there is no evidence of any gross violations, there is the potential for the market to be distorted as a result of the activities of these companies.
The 40,000 word report highlights the concern that the activities of the Big Three are contributing to higher drug prices, since these companies tend to deal in bulk purchases and deliveries. Dr Faiz Kermani, the report's author, commented: "There has been speculation that smaller facilities will be unable to gain a supply of medicines at a reasonable price from these companies".
The high price of medicines has become a contentious issue in recent years, with many consumers calling on their political representatives to make healthcare more affordable. The cost of healthcare is now a major issue at election time. "The continuing high price of medicines in the US has major implications for the distribution system as price-conscious individuals and employers seek strategies to obtain cheaper products," said Dr Kermani.
Pharmaceutical Distribution in the US: Current and Future Perspectives is available from URCH Publishing. Find more details about this 80 page report priced at £1,495 at http://www.urchpublishing.com/publications/pharma_industry_trends/pharmaceutical_distribution_us.html
About URCH Publishing Ltd
URCH Publishing Ltd is an independent business information publisher dedicated to delivering quality information products to the global pharmaceuticals industry. For more information contact Urch Publishing on +44 (0) 20 7060 1099 or email press[a]urchpublishing.com.
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