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Why Less Is More: The Hidden Cost of Complexity in Pharma Alliances

Executive Summary

Drug firms are paying more in non-cash costs--and risking more frequent failures--as biopharmas, intent on building corporate capabilities, not just maximizing the value of a product, demand and receive larger, often overlapping roles in collaborations. Those pharmas who win in this environment will have a complete, measurable understanding of complexity-the hidden cost of dealmaking. They'll forge deals in which, perhaps counter-intuitively, less collaboration creates more value for both parties.

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