The case investigates the impact of the increasing trend of pharmaceutical firms to outsource core research activities to biotech firms and other contract research organizations. The fluid nature of supply chain design in evolving industries is highlighted, and robust supply chain policies to respond to this evolution are proposed.

Malaria causes over 1 million deaths per year, 90% of which are preventable. Drug resistance has become one of the most important barriers to effective treatment. The cheapest and most widely-used drugs are ineffective in most countries. Medicines for Malaria Venture (MMV) was founded in 1999 with the goal of developing new artemisinin combination therapies (ACT) to effectively treat the disease.