ABSTRACT

The Dynamic Modeling approach allows for the individual models to be combined into an integrated master or enterprise model that encapsulates all relevant indications, allowing for a firm’s overall portfolio positioning to be evaluated. Since most pharmaceutical firms have drug offerings in more than one indication, the question becomes how to account for multiple therapeutic areas or disease categories within a single modeling framework. Comorbidity issues often plague traditional market evaluation efforts, as accounting for cross-indication overlap can be exceedingly difficult. Bipolar Disorder patients, for example, are often misdiagnosed as having Depression. Integrating indication-specific Standard Template models allows fundamental interactions between disease marketplaces and therapeutic areas to be explicitly addressed, providing a much clearer and more comprehensive picture of a firm’s overall portfolio position. Portfolio analysis across indications involves combining and adapting Standard Template dynamic models to evaluate a firm’s overall strategic position.