Big pharma faces radical business model transformation as firms tackle declining R&D productivity and reexamine the need for economies of scale. To survive, firms will need to look at financial decisions through a more strategic lens — deploying capital more efficiently, examining their value chain focus and managing alliances with a portfolio approach. How can large firms link capital allocation and transactions to strategy? How can emerging firms approach deals in the strategic context of acquirers? Will biotechs still need to become FIPCOs? How will pharma's changing business models impact small firms' allocation of scarce funds?

• Provide practical framework for connecting strategy to transactions and capital allocation policies
• Improve understanding of how alliances, acquisitions and divestitures affect shareholder value
• Demonstrate how managers can use capital market criteria for internal decisions