Novo Nordisk's limit on Wegovy supply vital to retain its competitive advantage, say analysts

31 May 2023

Danish diabetes care giant Novo Nordisk (NOV: N) recently announced that the starter doses of its weight-management drug Wegovy (semaglutide) would be limited in the USA until September, in an effort to avoid supply shortages.

The move comes after the company faced a supply shortage issue in March 2022, which resulted in halted sales of Wegovy and a delay in launching in the European Union. The demand for Wegovy currently outweighs supply capacity, as it is the first therapy to reach the obesity market that is administered on a weekly basis and shows superior efficacy to other currently marketed therapies in this space.

These preventative measures which Novo Nordisk is undertaking to avoid supply shortages is important for Wegovy to keep its competitive advantage over its future rivals, data and analytics company GlobalData.

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