Survival in the global economy often requires responding to global crises such as HIV/AIDS – particularly for the pharmaceutical industry.   Pharmaceutical companies striving to profitably deliver products that solve health problems will require continued creativity and innovation to survive.  Maintaining a healthy balance of profitability and social impact can be challenging for many industries.   This dynamic tension between delivering profits and achieving social impact is a dilemma highlighted in the pharmaceutical industry’s response to the global HIV/AIDS crisis.   

After years of steady stakeholder pressure and large donor commitments, the focus on responsible pricing of HIV/AIDS drugs is resulting in some success.   This week, the WHO and UNAIDS reported that an estimated 33.4 million people worldwide are living with HIV/AIDS, and "more people are living longer due to the availability of drugs," Reuters/Washington Post (Rujun/Chan, 11/24).  While these results are encouraging, more will be required by the industry to outpace the global HIV/AIDS pandemic in a sustainable way.  

To keep pace and remain competitive, the pharmaceutical industry struggles with how price reductions can ensure continued investment in HIV/AIDS therapies.  New business strategies that are innovative to respond to global health needs are necessary to also support commercial viability.   This past month, the New York Times reported on one such innovation - the launch of a breakthrough business strategy and formation of a new pharmaceutical company - ViiV Healthcare.  ViiV Healthcare represents the merger of the HIV/AIDS businesses of two competing pharmaceutical companies - GlaxoSmithKline and Pfizer - to form one company uniquely positioned to address the specific needs of populations impacted by HIV/AIDS.   While the global HIV/AIDS community continues to address the problem of providing affordable HIV/AIDS medicines for the developing world, GSK and Pfizer stepped ahead with a new idea and refreshed commitment to build on each company’s strength to deliver a possible solution.  

Health care industries are plagued with a constant conundrum.  How can companies provide these essential medicines and products, while ensuring that their competitive interests do not impede social progress?     The answer can only emerge when businesses continue to create new strategies and innovate to meet the global challenges.