The global Pharmaceutical Industry is majorly dominant in the US, Asia Pacific in terms of domination of the market. The total world consumption in sales of pharmaceutical products has displayed strong growth led by strong performance in these regions. With the rise of emerging markets and growth in global population the market is expected to grow further.
The roll out of continent specific R&D programs and drugs which help companies maximize penetration of markets and garner increased revenues are indicators of the global presence of the industry. The growing demand for obtaining intercontinental treatment by patients is being often satiated one or two mega research centers in the continent by various pharmaceutical companies.
Pharmaceutical Industry Analysis
Austerity measures across the world along with many countries imposing cutbacks on healthcare spending, particularly in Europe in recent years have caused a dent in the industry. A big impact on the Global Pharmaceutical Industry would be caused by the loss of patent for many blockbuster drugs during the years 2010-2015. The effect would be seen in the future years.
However, many start-ups and producers of generic medicine are likely to benefit from this situation as their generic versions of these drugs is expected to capture a substantial portion of revenues and the market held by the patented drugs.
The OTC of the Pharmaceutical Industry is trying to set its foot in the industry as and there are intense marketing efforts in the industry that are aimed at pushing the inclusion of OTC pharmaceuticals into the buy – store segment of home segments.
There is a rapid proliferative competition from the low-cost suppliers in the emerging markets in the very competitive and highly contested segment of Generics.
Pharmaceutical Industry Trends
In the years going forward, the emergence of new pharmaceutical product pipelines and markets, opportunities in various CNS disorders and oncology research and the ongoing commercialization of dormant compounds along the ever growing role of bio-similar in the industry would drive the global pharmaceutical industry in the near future.
One of the debatable points in the recent times in the pharmaceutical industry is the TRIPS agreement which has been debated globally. The agreement has been equally contested for in the developing as well as the developed countries. This issue is expected to impact the industry in the near future.
Moreover the tendency of “offshoring” amongst the pharma companies has helped development of various new value chains in the industry and this trend is expected to continue.