TEVA PHARMACEUTICAL INDUSTRIES, LTD 2IntroductionTeva Pharmaceutical has a long and scattered history that dates back to 1901. In over 100 years, the company has transformed, merged, and expanded throughout the world. Starting as small mom-and-pop pharmaceutical shops all throughout Jerusalem, Teva has since grown and becamea multibillion dollar company that now manages thousands of pharmaceutical shops. Teva’s vision was to eliminate the middle man from prior business practices with the local pharmaceutical stores, and create their own pharmacy business to where they produce and supplythe local shops. This opened the doors to many more possibilities and generated a massive amount of income for not just the small businesses but also for Teva. This would also allow themto create new pharmaceutical products without having to wait for a patent time to expire. Teva and Generic PharmaceuticalsAt Teva’s height, it could be seen as one of the pharmaceutical giants. Generic pharmaceutical companies initially were wholesalers that produced chemically equivalent pharmaceutical products to the local small shops. Teva saw this as a way to improve their company and at the same time, put more money in the hands of those local business managers. “Teva provided not only a broad scope of products, but also inventory management, volume-based discounts and pricing bundles, services less valuable to the mom-and-pops, but very important to the cost-conscious chains” (Khanna, T, Palepu, K, & Madras, C, 2010, pg. 21-15).