Global Health Innovation and Access: Sustainable Business Models

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CGD—in collaboration with the broader global health community, health economists, industry partners, and policymakers—is helping develop and drive an evidence-based policy agenda to make health product markets work for the poor. For millions of people around the world, life-saving drugs remains out of reach because economic incentives to drive their development and commercialization are lacking. CGD research and analysis systematically works to address market failures that span the entire value chain, from early stage pharmaceutical research to market competition, quality assurance, and supply chain efficiency.

Upstream, CGD research aims to kickstart R&D for these neglected diseases while simultaneously ensure affordable access once products are approved for use. Building on CGD’s Advance Market Commitment model, CGD’s Market-Driven Value-Based Advancement Commitment (MVAC) model—developed in partnership with the Office of Health Economics for the specific case of TB drugs—measures future demand in middle-income countries through health technology assessment (HTA), uses country advance purchase commitments—set at locally affordable prices—to resolve future market uncertainty, and crowds in private-sector capital to drive the priority research.

Further downstream, CGD research focuses on ensuring high-value innovation and essential medicines reach people in need, including a demand-side approach to accelerate uptake of cost-effective innovations. CGD has also offered concrete recommendations on improving global health procurement. And CGD an active participant in the dialogue on pharmaceutical pricing, contributing to topical debates about value-based tiered pricing, pooled purchasing, price controls, and price transparency.

Our vision is one where the best science and the best organizations—public and private—partner to meet priority health needs for all. In the race to develop a vaccine for COVID-19, CGD experts are currently focused on leveraging the "missing middle"—the private sector and middle-income countries, as well as developed economies. Read about their proposal for a benefits-based advanced market commitment (BBAMC).

In addition to the work linked above and the CGD publications, blogs, and events in the cards below, please find additional related materials here:

In addition to our non-resident fellows, partners for this work include:

  • Karl Claxton, Professor, Department of Economics and Related Studies, University of York
  • Adrian Towse, Director Emeritus and Senior Research Fellow, Office of Health Economics