Looming questions for Japan pharma

For a very long time executives visiting or living in Japan agonized over what they perceived as resistance to change and a drawn out, time consuming decision-making process, writes long-time Japan pharma watcher and president of International Alliances Limited P Reed Maurer in his exclusive column for The Pharma Letter.

Yes, a bottom up, consensus management style takes more time than a top down, command process. What is often missed is the rapid, effective execution of decisions. One example is the evolution of the distribution sector.

When I arrived in Japan in 1970 there were 1,500 pharmaceutical wholesalers. Each one had limited local coverage of hospitals and drug stores. Today there are basically four wholesalers, each with national coverage. This consolidation resulted in only one wholesaler going bankrupt and closing shop. All others merged through friendly agreements. There were no hostile take overs.