Part 4/8:
While Harvoni sales dipped, Gilead’s other drug, Sovaldi, experienced a rise in sales. This disparity signals the robust competition Gilead now faces in the hepatitis C drug market. In previous years, Gilead enjoyed a monopoly, allowing them to price drugs at a premium, but competition from new entrants like AbbVie's Viekira Pak and Merck’s Zepatier has sparked a price war.
Systematic Challenges and Market Forces
Several factors contributed to the observed sales decline beyond mere competition. Harjes succinctly identified four critical reasons:
- Expanded Access: Increased patient access to these drugs has led to lower price points due to prior negotiations.