ArticlePDF Available

Innovative Development In Pharmaceutical Industry Of The Russian Federation In The Context Of Globalization

Authors:

Abstract and Figures

The current development stage of globalization process and market reforms in the industrial sector of the national economy requires from scientists and practitioners to design qualitatively new approaches to formation of the strategic development in different economy branches for geopolitical evaluation of threats and challenges. Technological backwardness in Russia increases comparing to developed countries. The poor participation of Russia in international scientific and technical exchange is explained by inconsistent government policy on development and use of intellectual potential, modernization and improvement of manufacturing industry competitiveness, promotion of high-tech products at foreign markets. Reported problems are observed in the pharmaceutical industry, industrial-technological system, which is now almost destroyed, leading to a critical level of dependence on drug imports. However, the pharmaceutical industry as one of the most high technology industries can lead to innovation development in Russia.
Content may be subject to copyright.
56
NATALIAKLUNKO
ŸThecurrentdevelopmentstageofglobalizationprocess
andmarketreformsintheindustrialsectorofthenational
economy requires from scientists and practitioners to
designqualitativelynewapproachestoformationofthe
strategicdevelopmentindifferenteconomybranchesfor
geopoliticalevaluationofthreatsandchallenges.
ŸTechnological backwardness in Russia increases
comparingtodevelopedcountries.
ŸThepoorparticipationofRussiaininternationalscientific
and technical exchange is explained by inconsistent
government policy on development and use of
intellectualpotential,modernizationandimprovementof
manufacturing industry competitiveness, promotion of
hightechproductsatforeignmarkets.
ŸReportedproblemsareobservedinthepharmaceutical
industry, industrialtechnological system, which is now
almost destroyed, leading to a critical level of
dependenceondrugimports.
ŸHowever,thepharmaceuticalindustryasoneofthemost
high technology industries can lead to innovation
developmentinRussia.
 M21  Pharmaceutical market  Innovation  Innovative
development Medicine
Theconstantavailabilityofaspecificsetofdrugsisakey
elementinthesystemofnationaldrugsafety.
However, the pharmaceutical industry is one of the most
technologyintensiveindustriesandmaybecomeoneofthe
driversofinnovationdevelopment.
The potential of the national pharmaceutical science and
industryisanimportantindicatorofthestatetoopposethe
possibilityofexternalandinternalthreats.
The country's ability to develop their own medicine is an
indicatorofeconomicdevelopmentofthestate,relyingon
aninnovativemodelofdevelopmentastheprocessofdrug
development is one of the longest and most risky in
comparisonwiththedevelopmentofinnovativeproductsin
otherindustries[6].
A global perspective of the pharmaceutical market are
determinedbythelatestachievementsinchemistry,biology
andmedicine, knowledgebased bioand nanotechnology,
as well as the development of an innovative system that
includes large pharmaceutical companies and their
environmentbyvariousformsofsmallbusinessinnovation,
whichtakeson themostriskystagesofdevelopinga new
productsandservices[1].
Despite,thefactthatinrecentyears,thestatesignificantly
increased funding for health development (including
provisionof medicines), the current state of the domestic
(the pharmaceutical market remains fragile, and in many
waysreachedacriticallevel,whichputthepharmaceutical
industry and drug supply system in the country in the
categoryoffactors,national,includingdrugsafety.
SaintPetersburgstateuniversityofeconomicsandfinance,Russia
The above problems led to the choice of topics relevant
articles.
Medicinedrugsareanintegralpartofhealthcare.Todate
pharmaceutical market  one of the most civilized of
commoditymarkets.
However, the inadequacy of the health care system in
Russia makes available today unfavorable demographic
trends in the country. Fighting for his commitment to the
consumer market of pharmaceutical products is a time
consuming and lengthy process, because there is
afundamentaldifferencebetweenthemarketsofmedicines
fromanyotherconsumermarket.
Themainpurposeofthe innovationof thepharmaceutical
marketistoimprovethequalityoflife,whichistheresult
ofsustainabledevelopmentof allcomponents ofthe state
ofthestructureofthepharmaceuticalmarket.
An effective system of innovation governance
pharmaceuticalindustryisnotjustforbusinessentitiesthat
areonlycreated,butalsoforexistingones[6].
Theurgencyofthechosentopicbytheneedtointerpretand
overcomethedifficultiesencounteredinthe initialstageof
thepharmaceuticalmarket.
Thepharmaceuticalmarketinthemodernsenseoftheword
appearedinRussiaonlyintheninetiesoflastcenturyand
their dynamism can be compared only to that market
products of high technology  modern electronics,
communications,computersandsoftware.
The term "innovation" was used extensively in the
transitionaleconomy of Russia as a self  and to refer to
a number of related concepts: "Innovation", "innovation",
"innovativesolution",etc.
Theoretically,the general scientificmeaningofinnovation
managementas an effective component of a hierarchical
system of stewardship is reflected in many studies, both
foreign and domestic authors:: Ansoff I., Vihanskogo A.,
Volodkinoy M., Galchinskogo S., Geytsa V., Drucker P.,
Nemcova V., Ponomarenko S., Porter M., Strickland A.,
ThompsonA., Chandler A., Shershnev S., YastremskyA.
andother[2].
Topics of innovation management and investments in
variousfieldshavedevotedtheirresearchbyRussianand
foreign scientists: I. Balabanov, N. Blank, T. Dosi, P.
Drucker,P.Zavlin,Kazantsev,A.Kolesnikov,G.Krayukhin,
D. Medovnikov, M. Mintairov, B. Perkin, J. Pinnigs, E.
Popov,A.Rumyantsev,B.Santo,B.Twiss,R.Fathundinov,
Dzh.Haur,P.Jankowski,J.Shumpetr,A.Fonotov,J.Faure,
Y.Yakovetsandothers[2].
The immediate problems of planning and innovation
managementofinnovationprocessesstudiedsuchforeign
scientists: R. Adm, E. Rogers, A. King, B. Schneider, L.
Anderson,L.Briggs,J.Barnett[2].
www.journals.cz/
ISSN18045839
VOLUME4,2011
ISSN18045839
57
Evaluatingthe effectivenessof innovationmanagementis
reflected in the papers of R. Bazzela, C Valdaytseva, V.
Vlasova, E. Krylova, V. Sirotkin, William Sharpe and
others[2].
However,someproblems of implementation of innovative
pharmaceutical industry management are insufficiently
investigated.
In particular, require further consideration issues of
improvementofthefunctioningofinnovationmanagement
as an effective component of strategic management,
determine the level of innovation and improvement of
pharmaceutical companies on this basis, the existing
methodsofevaluationofinvestmentattractiveness[6].
Allocationofremainingpartsoftheabovegeneralproblem
andformationofthepurposesofArticle(problem).
Theoretical and methodological issues of priority
developmentofinnovationandtheuseofinnovationsinthe
industryneedforadjustmentsandadditionalstudies.
The purpose of the study is to develop the theoretical
aspectsof theformation ofthepharmaceutical market,as
wellas:
ŸIdentifythemaintrendsininnovativeactivityofindustrial
enterprisesinRussiaandthestrategicdirectionsofstate
regulationoftheinnovativesphere,
ŸananalysisofinnovativeactivityinRussianenterprises,
Ÿreviewthestatusandtrendsintheglobalmarketproduct
innovationinthepharmaceuticalindustry,
Ÿidentify problems in the Russian market of innovative
medicines,
Ÿjustifytheneedforasystemofstateregulationofimport
andexportofmedicinestoRussia.
The presentation of the basic material research with
complete justification of scientific results. Roots of the
Russianpharmaceutical market goesinto the drugsupply
oftheSoviet Union, which, in turn, was a kind of product
"socialistintegration,"divisionoflaborbetweencountriesof
the communist bloc. The role of the main producers of
finished dosage forms assigned Poland, Hungary, East
Germany, Yugoslavia, to a lesser extent in Bulgaria and
Czechoslovakia.
IntheUSSRconcentratedchemicalindustry,whichprovided
raw materials and semifinished product manufacturers.
Thus, the dominance of foreign manufacturers in the
domesticdrugmarketwaslaiddownoriginally.
Adversetrends in theeconomyin the lateeighties early
nineties have made a preexisting system of drug supply
economicallyuntenable:thepurchaseofmedicine abroad
wastooexpensiveforany state or citizens. The situation
wasaggravatedbythefactthatdrugpricesaredetermined
by market mechanisms, the state's role in drug provision
hasfallentoaminimum.
Atthesametime,domesticproducersofmedicineswere
not competitive: inefficient management, poor technology
andpoor starting positionputthe vast majorityofthem to
thebrinkofbankruptcy.
Asaresult, over the past 9 years, the share of domestic
productsin themarket formedicineshas neverexceeded
50%,andforthepast3years,shealwaysislessthan40%
[1].
AnotherfeatureoftheRussianpharmaceuticalmarket,the
essential terms of the innovation process is a clear
segmentation of the innovative feature: dominance of
www.journals.cz/
INNOVATIVEDEVELOPMENTINPHARMACEUTICALINDUSTRYOFTHERUSSIANFEDERATIONINTHECONTEXTOFGLOBALIZATION
volumeand valueindicators byforeignmanufacturers are
focusingitselfinalmost100%ofproductinnovation.Ofthe
thousands of medicines produced by Russian factories,
units can be considered original. Of the thousands of
medicines produced by Russian factories, units can be
consideredoriginal.
Thus,theinnovativepotentialoftheRussianpharmaceutical
marketisconcentratedinthehandsofforeignproducers.
Features of the Russian legislation is also not a problem
uniquetoinnovation.However,itshouldbenotedthatthe
riskofveryrapidreproductionofinnovationintheRussian
pharmaceutical market is very large: Existing legislation
does not protect the manufacturer new drug from the
appearanceofcopies:theexistingsituation,theprotection
ofintellectualpropertyrightsmayrelatetowaysofobtaining
thesubstance,butnotitsstructuralformula,reproductionof
anewmolecule,whichistheactiveingredientofanewdrug,
ismadepossiblewiththeadventofthisdrugonthemarket.
Therefore,whenplanningtheintroductionofnewmedicine
ontheRussianmarket,thecompanymustassesstherisk
ofcopiesreproducedmedicines.Thisriskisdeterminedby
theavailabilityofproductiontechnology,availabilityofraw
materials, anticipated sales, etc. Separately, it should be
mentioned that the registration of generic medicines in
Russiaisinregardtoapprovingstatepowerthecheaper
genericmedicineoriginalmedicines[2].
Financial crises have had a devastating impact on the
bankingsystemandledtothebankruptcyofalargenumber
ofpharmaceuticalcompanies.
Atthispoint,thethreemajorregionsofthepharmaceutical
worldremain:theUnitedStates.EuropeandJapan.They
accountforabout80%ofthemarketofmedicine.
Russian pharmaceutical market, like any other consumer
market,seeks tomaximize customerloyalty,because itis
the commitment of the consumer gives the company
additionalopportunitiestomaintainandenhanceitsposition
in the market, which ultimately leads to increased
competitiveness of the organization and creates the
conditionsforitssustainabledevelopment.
Thecomplexity of productionefficiencyof medicine inthe
transitionalperioddeterminedbyacomplexchangeinthe
economic system in the state and nationwide economic
crisis,accompaniedbythefollowingfactors(Fig.1).
Innovationpotential for any pharmaceuticalorganization
ameasure of readiness toperformtasks that achievethe
set goals of innovation, in other words, the innovative
potentialisameasureofreadinesstoimplementtheproject
orprogramofinnovativepolicychanges[3].
Innovationprocessis the preparation and implementation
ofglobalinnovativechanges.
Asarule,theinnovationprocessiscomposedofinterrelated
phasesthatformasingle,integratedwhole.Asaresultof
this process is implemented there, use the change 
innovation.
In order to implement the innovation process is very
importantdiffusion(distributionovertimehasoncemastered
andusedinthenewinnovation).
A system of concepts of innovation management
pharmaceuticalmarketconsistsofthefollowingfactors(Fig.
2).
Thus,the pharmaceutical marketbeingan integral partof
the health care system is intended to provide resource
58
meetingthedemandof thepopulation pamedicine drugs,
andpromoteinnovativedevelopmentoftheindustry.
Studies have shown the absence of a comprehensive
program of drug supply policies of Russia's population,
classifiedaccordingtosuchaspectsas:
1. The investment policy of the state as an essential
element of structural adjustment pharmaceutical
production,
2. innovation policy (measures to promote science and
technologyandtheintroductionoftheirachievementsin
theproductionofmedicines),
3. tradepolicy(measurestoprotectandsupportdomestic
producersofmedicines,managementofintegrationinto
theglobaleconomy),
4. legislative policy (legislation and administrative
measures,shapeandregulatetheindustrialpolicy,which
isoneofthemajorcomponentsofhealthprotection).
www.journals.cz/
INNOVATIVEDEVELOPMENTINPHARMACEUTICALINDUSTRYOFTHERUSSIANFEDERATIONINTHECONTEXTOFGLOBALIZATION
The Russian pharmaceutical market is one of the most
dynamicandgrowingglobalmarkets.
Highinflation,theruble,highratesofinterestonloans,the
growthofenergytariffs, high costs of capital construction
byvirtueofitsgeographicallocation,thedumpingpolicies
ofAsiancountriesallthesefactorsareinitiallyplacedina
localmanufacturer ofunequalcompetitive conditionsfrom
foreign and, according to experts , reduced the
competitivenessofdomesticdrugmakersto50%[6].
To identify and implement the scientific potential of the
domestic pharmaceutical science necessary to create
conditionsforconsolidatingtheeffortsofRussianscientists
andpharmaceuticalcompanies.
Amongothermeasuresaimedatencouraging,itshouldbe
noted simplifying and speeding up administrative
procedures (registration of innovations, licensing,
certification,etc.),aswellasaspecialtaxregime.
It should be noted that at the heart of the modern
pharmaceuticalindustryisabusinessmodelthatdoesnot
providesustainableeconomic development and does not
allow drug companies to quickly produce innovative
medicines needed by the world markets. Without a
fundamental change in the industry will not be able to
maximizetheopportunities thatareopeningbeforeher.of
benefits.
Theimportantisgovernmentsupportfordomesticoutputof
innovative pharmaceutical products and medical
technologies to the world market at the expense of
internationalpatenting, financial, and"political"means, as
well as protecting the rights of all participants in the
innovationprocess by creating anefficientstate of patent
andlicensingsystem.
1.The developmentstrategyof thepharmaceutical industryinthe
RussianFederation until2020, approvedby OrderofIndustry and
TradeofRussiafromOctober23,2009№965(www.pharma2020.ru).
2. Apasov A. Russia needs a clear concept of drug supply / /
NEMEOSHM.1997.№2.P.2627
3. Bobylev, GV Kuznetsov, AB, NV Gorbachev Conditions and
factorsoftheinnovativepotentialoftheregion//Region:Economics
andSociology.2008.Number1.S.113126.
4.Pharmacysector:nosinglerecipeforovercomingthecrisisHeT.
//REMEDIUM.1999.№1.e.8081
5.ParfentievaA.Improvingthesystemofperformanceplanningand
technicaldevelopment:DissertationPh.D.ineconomics.,Chisinau,
198423s
6.TolstopyatenkoM.Innovativedevelopmentofthepharmaceutical
industryonthebasisoftheformationofpharmaceuticalandmedical
clusters.ThethesisforaPhDdegree.2009.
Figure 1: Factors of complex changes to the system of
managementofpharmaceuticalindustrymanagement
Source:Author
Figure2:An innovative management pharmaceutical market of
theRussianFederation,Innovationandinnovativestrategies
Source:Author
ResearchGate has not been able to resolve any citations for this publication.
Russia needs a clear concept of drug supply
  • A Apasov
Apasov A. Russia needs a clear concept of drug supply / / NEMEOSHM. 1997. ­ № 2. ­ P. 26­27
Conditions and factors of the innovative potential of the region
  • Gv Bobylev
  • Ab Kuznetsov
  • Gorbachev
Bobylev, GV Kuznetsov, AB, NV Gorbachev Conditions and factors of the innovative potential of the region / / Region: Economics and Sociology. 2008. Number 1. S. 113­126.