The success story of Novo Nordisk and its anti-obesity drugs

Novo Nordisk, the Danish pharmaceutical manufacturer, has achieved an overall value of $500 billion through the sales of its anti-obesity and diabetes drugs. The company's strong profits and high demand for its products have contributed to its rapid growth, making it the second European company to break the half trillion dollar market cap barrier. Novo Nordisk's success can be attributed to its corporate structure, which is owned by a nonprofit foundation. This unique setup has allowed the company to prioritize research and development efforts in the field of diabetes, leveraging its century-long struggle with the disease. The company's success highlights the potential benefits of a not-for-profit structure in the pharmaceutical industry, although the majority of their research is directed towards diseases affecting affluent countries. Despite concerns of the "Dutch disease" effect on the Danish economy, where the success of one dominant sector leads to the neglect of other industries, Denmark's robust and diversified economy is less vulnerable to such distortions.