The Issue Of Using Traditional Ways For Running The Pharmaceutical Industry

1108 Words5 Pages
The Issue of Using Traditional Ways for Running the Pharmaceutical Industry

From rising customer expectations, to poor methods of research and development, there are many reasons to modernize the current business model of the pharmaceutical industry. The major issue is the fact that experts rely on traditional methods regarding management and a business model. The pharmaceutical industry is now facing the reality that other industries have previously dealt with, where companies have been forced to remodel themselves. This is not an easy task, as the landscape of the cultural industry has to fundamentally change. This in turns affects each level and individual in the corporation. There are many variations as to why modifications are
…show more content…
It will explore methods that can be practiced to improve research and development and innovate business models in established and emerging marketplaces. Which can in turn be used to lessen the forfeiture of earnings on account of patent expiration and absence of prominent medicines. Johnson and Johnson, Novartis and Abbott are just a few companies that are modernizing their facilities, devices and diagnostics. They are transforming their actions outside the traditional business model. Some companies are proceeding in the direction of the Emerging Markets who have not fully developed their potential such as, Astra Zeneca and GlaxoSmithKline (GSK). These companies mentioned are recognizing that if they do not initiate a response to these problems, they could develop into a permanent setback. Lack of scientific productivity and innovation is one of the main issues the pharmaceutical industry is suffering from. Researchers and developers are under serious scrutiny and extreme safety standards by the Food and Drug Administration (FDA). This results in little room to innovate. There are fewer products being permitted and scientists are thus failing to reach potential in delivering care for patients and their own commercial profits. Companies do not take risks and therefore have bad portfolios. Pharmaceutical industries need to allocate the expense and the risks of backing research and development. Innovation is a must for developing pharmaceutical companies, and
Get Access