Influence of R&D Expenditures on Largest Pharmaceutical Companies Profitability

Student: Kamynin Nikita

Faculty: Faculty of World Economy and International Affairs

Educational Programme: World Economy (Bachelor)

Final Grade: 8

Year of Graduation: 2020

Research and development expenditure in the pharmaceutical industry plays pivotal role in increasing competitiveness and enhancing productive performance of companies. However R&D involves high costs. This paper explores the role of R&D costs in comparison with other types of expenses to determine their impact on pharmaceutical companies’ profitability. We will employ panel analysis to measure the impact of pharmaceutical R&D and other types of costs on 30 world's largest pharmaceutical companies’ profitability over the 2014–2019 time frame. The findings will help to understand the correctness of the current R&D models implemented in pharmaceutical industry. Furthermore, the study will have important implications to the development of company’s effective cost management.

Full text (added May 14, 2020)

Student Theses at HSE must be completed in accordance with the University Rules and regulations specified by each educational programme.

Summaries of all theses must be published and made freely available on the HSE website.

The full text of a thesis can be published in open access on the HSE website only if the authoring student (copyright holder) agrees, or, if the thesis was written by a team of students, if all the co-authors (copyright holders) agree. After a thesis is published on the HSE website, it obtains the status of an online publication.

Student theses are objects of copyright and their use is subject to limitations in accordance with the Russian Federation’s law on intellectual property.

In the event that a thesis is quoted or otherwise used, reference to the author’s name and the source of quotation is required.

Search all student theses