Advances in Economics, Management and Political Sciences

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Proceedings of the 7th International Conference on Economic Management and Green Development

Series Vol. 40 , 10 November 2023


Open Access | Article

Risks Analysis and Development Prediction in Pharmaceutical Industry: A Case Study of Johnson and Johnson, Pfizer and Roche

Zhiwei Chen * 1
1 Wuhan University of Technology

* Author to whom correspondence should be addressed.

Advances in Economics, Management and Political Sciences, Vol. 40, 68-74
Published 10 November 2023. © 2023 The Author(s). Published by EWA Publishing
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Citation Zhiwei Chen. Risks Analysis and Development Prediction in Pharmaceutical Industry: A Case Study of Johnson and Johnson, Pfizer and Roche. AEMPS (2023) Vol. 40: 68-74. DOI: 10.54254/2754-1169/40/20231996.

Abstract

Pharmaceutical innovations, including drugs and vaccines, consistently remain a top priority in development and research efforts. The COVID-19 pandemic has further emphasized the significance of drug research and development, prompting a growing number of nations to invest in this field. Governments have increased funding and introduced various incentive policies to stimulate innovation, bolstering the expansion of the pharmaceutical market. As a result, the pharmaceutical sector has evolved into a fundamental economic pillar, closely linked to economic growth, healthcare standards, and the overall well-being of the population. Consequently, economists and investors now pay greater attention to the industry than ever before. Despite the heightened focus on pharmaceuticals, the sector is not without its challenges, with numerous risks presenting obstacles for many companies. Identifying and understanding these risks, developing strategies to overcome them, and determining methods to maintain competitiveness and market share in the future is crucial for the continued success of these enterprises. This paper will focus on the WACC calculation to reckon the risks for Johnson and Johnson, Pfizer, and Roche as examples of pharmaceutical companies, put them down to contrast and predict the development. It shows that Johnson and Johnson owns the highest WACC, while Roche owns the lowest.

Keywords

pharmaceutical industry, innovative drugs, vaccines, COVID-19 pandemic

References

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Data Availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

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Volume Title
Proceedings of the 7th International Conference on Economic Management and Green Development
ISBN (Print)
978-1-83558-101-8
ISBN (Online)
978-1-83558-102-5
Published Date
10 November 2023
Series
Advances in Economics, Management and Political Sciences
ISSN (Print)
2754-1169
ISSN (Online)
2754-1177
DOI
10.54254/2754-1169/40/20231996
Copyright
© 2023 The Author(s)
Open Access
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

Copyright © 2023 EWA Publishing. Unless Otherwise Stated