Report Finds Opportunities for SMEs in the Pharma Sector to Thrive - Why it Pays to be Innovative
There are increasing opportunities for small and medium-sized enterprises (SMEs) to flourish in the pharma sector, as big pharma companies such as GSK and AZ are facing increased R&D cost pressure.
This has led to an environment of opportunity for smaller, more nimble players to fill the void, with big pharma turning to some to outsource some of their services. The UK's privately owned drugs companies are therefore playing a growing role.
This is according to a report from Catalyst Corporate Finance, the consultancy business.
The businesses which are benefiting are distribution, supply chain, consulting, generic development and clinical trial outsourcing, according to Catalyst.
Catalyst is upbeat about the fundamentals for the pharma sector. However, it says there is a need to innovate and adapt to the changing environment.
Comment
The findings of this report are not surprising. This is something that we have seen for a while. We run a group called PING (the Pharmaceutical Industry Network Group) for players from across the pharma supply chain. It is clear that there are plenty of opportunities to survive and thrive, for anyone who wants to be innovative and collaborate, and look for new ways of doing things in this sector.
At PING, we have seen partnerships grow and flourish. And we have heard countless views from experts such as Professor Brian Smith, the author of The Future of Pharma, who have talked about the needs for businesses in this sector to evolve to the changing environmental conditions if they want to stay alive and progress. As there is a need to look "beyond the pill" and do things differently, there are opportunities. But the nimble and niche players are the ones most likely to achieve that.