Generic atorvastatin and rosuvastatin in the South Korean market: time of introduction in relation to manufacturer characteristics

ABSTRACT

Background: The competition for and market dynamics of generic medicines can be understood by analyzing manufacturers’ behavior. In this study, we analyzed the various types of generic atorvastatin and rosuvastatin that were introduced onto the South Korean market from 2002 to 2018 and their corresponding manufacturers.

Methods: Based on publicly available data, we selected drugs containing atorvastatin and rosuvastatin as active ingredients for the analysis. We calculated the time between the date of marketing approval for the first generic and that of the remaining generics. Then, we categorized manufacturers that marketed generics into first movers and latecomers.

Results: We confirmed that many manufacturers have marketed generic drugs in South Korea and that manufacturers can be categorized as first movers and latecomers. Interestingly, latecomers account for a large portion of the manufacturers of generics, and they have entered the market steadily, even after the market matured with a number of manufacturers. Additionally, the characteristics of the manufacturers were closely related to manufacturers’ behaviors in the market.

Conclusions: The order-of-entry effect, which is commonly observed in other markets, is marginal in the South Korean market, and this phenomenon is mainly explained by the rare price competition among generic manufacturers.

KEYWORDS:

• Statins
• drug entry
• follow-on drugs
• first mover
• latecomers
• South Korea

Article highlights

• Many manufacturers have marketed generic atorvastatin and rosuvastatin in South Korea, and these manufacturers can be categorized as first movers and latecomers.

• Interestingly, latecomers account for a large portion of the manufacturers of generics, and they have entered the market steadily, even after the market has matured with a number of manufacturers.

• Due to the rare price competition among generic manufacturers, latecomers could reasonably expect profit even when they market the generic late.

• The South Korean government could introduce several options to establish markets with price competition among many manufacturers.

Declaration of interest

The author has no relevant affiliations or financial involvement with any organization or entity with a financial interest in or financial conflict with the subject matter or materials discussed in the manuscript. This includes employment, consultancies, honoraria, stock ownership or options, expert testimony, grants or patents received or pending, or royalties.

Reviewer disclosures

Peer reviewers on this manuscript have no relevant financial or other relationships to disclose.

Author contribution statement

KS designed the study, collected and analyzed data, and wrote the manuscript. The author read and approved the final manuscript.

Additional information

Funding

This paper was not funded.