Research and Markets: How Feasible is Blockbuster Drug Development as a Foundation of Major Pharma Growth?

Research and Markets (researchandmarkets.com/reports/c9320) has announced the addition of Future Growth Strategies: Drivers of sustainable development within the biotech, specialty and major pharma sectors to their offering.

(PRWEB) November 17, 2004 -- Research and Markets (http://www.researchandmarkets.com/reports/c9320) has announced the addition of Future Growth Strategies: Drivers of sustainable development within the biotech, specialty and major pharma sectors to their offering.

Where are the pharma and biotech sectors heading for the remainder of 2004 and beyond...? This management report provides the timely analysis senior executives need to maximize business opportunities in 2004. This report assesses favored growth strategies for pharma and biotechs and offers productive solutions to assure long-term success. This report examines the feasibility of blockbuster drug development as a foundation of major pharma growth and proposes alternatives to expansion through M&A, expounding the benefits of in-licensing and then networked growth. It also focuses on the group of small ethical, generics, drug delivery and certain biotech firms that together constitute the specialty pharma sector. Fundamentally, this report provides the analysis required to take advantage of new market opportunities and prepare counter strategies for threats presented by new entrants.

Contents Include:

-Major pharma

Summary

Introduction: major pharma health check

Blockbuster growth model

Demand for blockbuster drugs

Investors emphasis on revenues

Optimizing returns on pharmaceutical R&D

Innovation is more sustainable than patent defense

Current blockbuster market

Reliance on blockbuster sales

Is blockbuster growth sustainable?

Growth through M&A

Drivers of pharmaceutical M&A

Focus on productivity improvements

The productivity crisis in R&D

The productivity crisis in sales

Is consolidation the answer?

Downsizing to improve efficiency -- short-term gains

Revenues are directly proportional to investment in sales -- no scale economies

Pipeline productivity is directly proportional to R&D investment -- no scale economies

Implications for major pharma

Outlook for the major pharma sector

From blockbuster to 'multi-buster -- opportunities arising from pharmacogenomics

Treatment by genotype

Improvements in diagnosis

Maximizing revenues in the post-genomics era

Focus on core competencies -- benefits of networked growth

Short-term tactics -- becoming the licensing partner of choice

Longer term strategy -- moving from licensing to networking

Chapter 2 Specialty pharma

Summary

Introduction: specialty pharma health check

Growth-by-acquisition business model

Search strategies

Acquisitions

Single product acquisitions

Franchise acquisitions

Corporate acquisitions

Focused sales and marketing activities

Limitations of the growth-by-acquisition model

High cash burn

Over-reliance on individual product acquisitions

Lack of appropriate acquisition targets

Best acquisition targets too expensive

Outlook for specialty pharmas

Growth drivers to 2007

Continued top tier consolidation liberates products for specialty pharmas

Large pharmas ignore therapeutic markets with lower revenue potential

Revenue window of opportunity for specialty pharmas

Patent expiries fuel generic and drug delivery company growth

Biotechs move downstream

Japanese market opens up to specialty pharmas

Barriers to short-term growth

Growth drivers, 2007-12

Genomics and related technologies yield more drug targets

Pharmacogenomics micro-segments disease markets

Introduction of biogeneric drugs

Major pharmas divest entire therapeutic franchises

Barriers to longer term growth

Winning growth strategies

Improved search strategies and better structured agreements

Targeting the right therapy areas

Creating partnership networks

Acquire or co-promote?

Moving upstream to reduce reliance on acquisitions

Chapter 3 Biotech

Summary

Introduction: biotech health check

The evolving biotech market

Changing competitive landscape

Intra-biotech competition

Biotech-pharma competition

Changing balance of power between biotech and pharma

Desire for independence

Stratification of biotech sector

Growth strategies

Biotech growth influences

Cost containment

Income

Perception

Product potential

Adoption of growth strategies by biotechs at different stages of development

Integrated biotechs

Developing biotechs

Co-development companies

Platform technology companies

Outlook for the biotech sector

Integrated biotechs will consolidate to improve productivity

Developing and co-development companies will work together to avoid restrictive agreements with pharmas

Development stage companies will partner rather than go-it-alone to market

Platform technology companies will expand their services to protect against mimicry

For more information visit http://www.researchandmarkets.com/reports/c9320

Laura Wood

Senior Manager

Research and Markets

press@researchandmarkets.com

Fax: +353 1 4100 980

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