Discovering and developing drugs is a risky process that requires a great deal of both time and money. To gain competitive advantage, companies must establish the health economic viability of the product and adapt development plans effectively to meet market access requirements. To present a conceptual model that optimizes the economic viability of potential new drugs by identifying useful properties and obtaining clinical, economic, and quality-of-life data as early as possible in the product development cycle. The matrix is formed by two drug characteristics of primary importance: indication and mechanism of action (MOA). Four scenarios arise from this matrix: I=New Market Entry (drugs having both novel MOA and indication), II=Product Development (new MOAs for existing indications), III=Market Expansion (existing MOA but new indication), and IV=Market Penetration (existing MOA and existing indication). Economic viability incorporates the following six parameters: efficacy, tolerability/safety, QOL, pricing, effectiveness, and formulation. To optimize a product's economic viability, sponsors should evaluate, based on type of scenario and its requirements for these six parameters, the health economic challenges ahead to be overcome in order to achieve successful reimbursement. Drugs in Scenario I fulfill an unmet therapeutic need and are therefore highly desired. Economic viability for these products is high. Those with novel MOAs are also highly valued, as they could treat wider ranges of patients or those who fail other regimens. Compounds in Scenario IV pose the greatest challenges for health economic viability. The product is considered a 'me too' and, therefore, there is an increased focus on added value relative to existing products. Using this matrix can identify early the optimal position of a new drug, the data required, and when the data should be collected and verified. Consequently, development can be made efficient, with reduced waste of resources and funds.