Southeast Asia as a region of new pharmaceutical development

Publication type Article
Status Published
Occupation: Research Fellow
Affiliation: Lomonosov Moscow State University, RANEPA
Address: Russian Federation,
Occupation: Student
Affiliation: Lomonosov Moscow State University
Address: 1, Leninskie Gory, Moscow, 119234
Journal nameAsia and Africa Today
EditionIssue 1

The article is dedicatedto the geographical analysis of the pharmaceutical industry in the countries of Southeast Asia, a region that has undergone serious changes over the past twenty years in the context of fierce competition on the international drug market. It was revealed that initially the development of pharmaceutical industry in the region took place under the influence of world multinational corporations, the production of medicines was focused exclusively on an external consumer and had an isolated spatial pattern. Subsidiariesof big pharmaceutical TNCs were located in such a way as to gain a competitive advantage in the form of cheaper labour and, at the same time, to minimize transaction costs for transporting locally produced medicines directly to the points of sale. Subsequently, the growth in the paying capacity of the local population led to the formation of a stable, albeit unevenly distributed intraregional demand, with a high potential for further expansion.Therefore, today the development of pharmaceutical industry in the countries of Southeast Asia is characterised as multi-scaled. As global value chains in the industry become more complex and advanced, there is a steady trend of a gradual deepening of intraregional ties.The countries of Southeast Asia still differ significantly in terms of the degree of maturity of the national pharmaceutical industry and domestic drug markets.These both criteria were used as the basic ones to create the typology of the countries of Southeast Asia according to the level and type of development of their pharmaceutical industry.

KeywordsSoutheast Asia, pharmaceutical industry, drug production, pharmaceutical market
Publication date28.01.2022
Number of characters28497
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