Document Type : Original Article
Authors
- . Mehdi Varmaghani 1
- . Amir Hashemi Meshkini 1
- . Farshad Farzadfar 2
- . Mehdi Yousefi 3
- . Saeed Yaghoubifard 4
- . Vida Varahrami 5
- . Ehsan Rezaei Darzi 2
- . Majid Anabi 4
- . Abbas Kebriaeezadeh 4
- . Hedieh-Sadat Zekri 6
1 Department of Pharmacoeconomics and Pharmaceutical Administration, Tehran University of Medical Sciences, Tehran, Iran Non-communicable Disease Research Center, Endocrinology and Metabolism Population Sciences Institute, Tehran University of Medical Sciences, Tehran, Iran
2 Non-communicable Disease Research Center, Endocrinology and Metabolism Population Sciences Institute, Tehran University of Medical Sciences, Tehran, Iran
3 Department of Health and Management, Mashhad University of Medical Sciences, Mashhad, Iran
4 Department of Pharmacoeconomics and Pharmaceutical Administration, Tehran University of Medical Sciences, Tehran, Iran
5 Department of Economics, Shahid Beheshti University, Tehran, Iran
6 Faculty of Economics, AllamehTabatabaiee University of Human Sciences, Tehran, Iran
Abstract
Objective: In this study, we aimed to assess comparative productivity of 21 pharmaceutical
companies in Iran during 2000–2013.
Methods: To evaluate the productivity trend of pharmaceutical companies in Iran, we used
data envelopment analysis‑based Malmquist index. “Total assets” and “capital stock” as inputs
and “net sales” and “net profit” as outputs extracted from Tehran stock exchange, were
selected to be included in the analysis. This method provides the possibility for analyzing the
performance of each company in term of productivity changes over time. We also used an
estimation generalized least square panel data model to identify the factors that might affect
productivity of pharmaceutical companies in Iran using EViews 7 and Deep 2.1 software.
Findings: The mean total productivity during all years of the study was 0.9829, which
indicates the improvement in their overall productivity. The results, over the 13-year
period, indicated that the range of productivity changes in pharmaceutical companies, that
were included in this study, was between 0.884 and 1.098. Panel data model indicated that
age of company could positively (t = 4.765978, P < 0.001) and being located in cities other
than Tehran (the capital) could negatively (t = −5.369549, P < 0.001) affect the productivity
of pharmaceutical companies. The analysis showed the new policy (brand-generic scheme)
and also the type of ownership did not have a significant effect on the productivity of
pharmaceutical companies.
Conclusion: In this study, pharmaceutical productivity trends were fluctuated that could be
due to the sub-optimal attention of policy makers and managers of pharmaceutical companies
toward long-term strategic planning, focusing on productivity improvement.
Keywords
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