Environmental Analysis of Factors Influencing Strategic Alliances in the U.S. Pharmaceutical Industry

ABSTRACTParticipation in strategic alliances has become increasingly popular in the pharmaceutical industry. Various environmental factors affecting the industry may influence participation in these alliances. Using responses to a mail questionnaire from 48 managers in the pharmaceutical industry, the most important environmental factors influencing participation in joint ventures, cross licensing, and comarketing were determined. Evaluation of the ten factors revealed that the most important factors were ones that are dynamic in nature, including the cost of R&D, keeping the R&D pipeline full, and entering new therapeutic areas. However, nine of the factors were considered at least somewhat important, indicating that the pharmaceutical industry exists in a complex environment.