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How does Eisai justify its existence?

































































Through dumb luck, Eisai was able to stumble upon two drugs with blockbuster potential. They were smart enough to hitch their wagon to market leading companies to help build those brands, so they should be given kudos for that. The vast majority of the success was solely due to the efforts of Pfizer and J&J. On the rare occasion when Eisai was able to influence a key decision, it was invariably a royal f up (e.g. the pricing strategy for Aciphex, etc.). Since then, not one successful move has been made in 10 years. Business development is the worst underperfomer, but every part of the business has failed miserably. The company now needs to content itself with a gradual settling to a $400 million - $500 million revenue base in the U.S. generated by a portfolio of ancient products in genericized markets, continued cost cutting, focus on throughput and efficiency, and 10% margins. There really are no other options, resources, talent or leadership, which could change that inevitability. It'll be a long, cold winter.