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Trilogy Tidings
July 2009
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in this issue
     Potpourri this month: A sampling of some recent work and published items that are worthy of your attention.

     To my American clients, colleagues and friends: Happy Independence Day!

     Carry on, and remember: Refuse to participate in the recession!

Regards,
Joe

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Understand the Economics of Your Clinical Method 
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FlagFollowing my warnings last month about the lurking impacts of Comparative Effectiveness Research (CER) and its inevitable linkage to cost effectiveness, I developed a generic outline of a process for comparing clinical methods on an economic scale.  You might find this outline useful as a roadmap in understanding and communicating your product's economic value to a target audience (practitioner, institution, payer or society) as a complement to its clinical value.
 
     There are certainly many ways to think about this issue; I'd be pleased to hear yours.
CER Priorities from the Institute of Medicine
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FlagAnd, on the subject of CER, the American Recovery and Reinvestment Act of 2009 called on the Institute of Medicine to recommend a list of priority topics to be the initial focus of a new national investment in comparative effectiveness research.  The IOM came up with a list of 100 topics, grouped by priority into four sets of 25.  I think we can be confident that many, if not all, of the top 25 topics will be funded and addressed.
 
     I took special note of the following highest-priority items that could influence your strategies and future success:
  • Treatment strategies for atrial fibrillation (surgery, catheter ablation and drugs) 
  • Upper endoscopy for gastroesophageal reflex disease (GERD)
  • Screening, prevention and treatment of MRSA
  • Reduction of healthcare associated infections (HAIs), especially those related to central lines
  • Management strategies for localized prostate cancer
  • Imaging technologies applied to diagnosing, staging and monitoring patients with cancer
  • Genetic and biomarker testing applied to the prevention and treatment of cancer 

Thoughts to share?

 
Combination Products
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FlagI've been interested in the future of combination products - the most common example being the drug-eluting stent - for some time.  There are a great many possibilities, some real and some ethereal.  A recent article in MD&DI does a nice job of summarizing the categories of such products and raising some not-so-obvious impacts on partnering relationships and clinical trials.  I'm especially intrigued by three kinds of combinations:
 
  • Polymers impregnated with drugs or biologics
  • Localized drug delivery
  • Ingestible electronics for medication tracking and physiological monitoring

     That last one is a little "out there", but you never know!

 
Do Medical Devices and Diagnostics Rule?
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FlagSteven Burrill, the life science investor and analyst, is always an interesting read.  His interview, recently published in Life Science Leader, a new trade magazine, includes the following remarkable exchange:
 
Interviewer
: "You run a venture firm that invests almost exclusively in life science companies.  What existing or emerging technologies would you recommend for investment?"
 
Burrill
: "Historically, the life sciences industry has relied on revenue from high-value-high-margin therapeutics (Rx) and lower-value-lower-margin medical devices and diagnostics (Dx).  However, with healthcare reform going forward and the changes in science that allow us to move closer to a personalized, predictive, and preventative medicine world, there is going to be a reversal in the Rx/Dx value proposition - that is, I believe Dx rather than Rx will drive future profitability in the life sciences sector.   In the future, the Rx business will be transformed from a high-value-high-margin into a high-volume-low-margin proposition, whereas the Dx side of the business will change from a high-volume-low-margin to a high-value-high-margin opportunity."
 
     We report, you decide. 

Thoughts to share?

 
Resources from our Archives 
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     Check out our Reading Room to view my published articles, presentations and white papers on a variety of topics.
 
     And, you can examine an archive of my prior newsletters (since February 2007).
 
What does Trilogy do? 
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     Trilogy Associates facilitates business growth and renewal through commercialization of new products, providing the following services:
  • Opportunity assessment
  • Business planning and enterprise growth strategies
  • New-product conceptualization, commercialization and marketing
  • Market research and competitive assessment
  • Business development and partnering
  • Market and technological due diligence
  • Assessment of the therapeutic and diagnostic potential of novel technologies
  • Design of efficient and effective development strategies for early-stage biomedical products
  • Business and technical writing/publishing

     Inquiries to establish whether and how we might support your business initiatives are always welcome.  Contact us.

Contact Information
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ContactInfoJoseph J. Kalinowski, Principal
919.533.6285
LinkedIn Profile: www.linkedin.com/in/trilogy
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