3 P.E.S.T. Analysis
4 Five Forces Competitive Analysis
5 The Industry’s Dominant Economic Features
6 SWOT Analysis
7 Change in the Pharmaceutical Industry
8 Illustration of Size and Location of Pharmaceutical Companies
9 IndustriesAttractiveness to Investors
A pharmaceutical company, or drug company, is a commercial business whose focus is to research, develop, market and/or distribute drugs, most commonly in the context of healthcare. Pharmaceutical company can deal in generic (does not have a brand name or trademark) and/or brand medications. They are subject to avariety of laws and regulations regarding the patenting, testing and marketing of drugs. From its early stages at the beginning of the 19th Century, it has become one of the most successful and powerful industries, being a magnet for admiration and criticism equally. The majority of today's most important pharmaceutical companies were set up in the late 19th and early 20th centuries. Importantfindings of the 1920s and 1930s, such as insulin and penicillin, became mass-manufactured and distributed. Switzerland, Germany and Italy had exceptionally strong industries, with the UK and US following suit. Laws by official body were passed to test and approve drugs and requiring them to fix appropriate labelling. Prescription and non-prescription drugs became legally distinguished from one anotheras the pharmaceutical industry advanced. The industry got underway in a serious way from the 1950s, due to the development of systematic scientific approaches, understanding of human biology (including DNA) and sophisticated manufacturing techniques. Numerous new drugs were developed during the 1950s and mass-produced and marketed through the 1960s. This included the first oral contraceptive,“The Pill”, Cortisone, blood-pressure drugs and other heart medications. MAO Inhibitors, chlorpromazine (Thorazine), Haldol (Haloperidol) and the tranquilizers ushered in the age of psychiatric medication. Valium (diazepam), discovered in 1960, was marketed from 1963 and quickly became the most prescribed drug in history, subsequently controversy arose over it effects of dependency and habituation onusers. Endeavours were made to strengthen control and to reduce financial links between pharmaceutical companies and prescribing physicians, including by the relatively new US FDA. Such calls increased in the 1960s after the thalidomide catastrophe came to light, in which the use of a new tranquilizer in pregnant women caused severe birth defects. In 1964, the World Medical Association issued itsDeclaration of Helsinki, which set standards for clinical research and ordered that participants give their informed consent before enrolling in an experiment. Phamaceutical companies became required to provide evidence of effectiveness in clinical trials before marketing drugs. Cancer drugs were a were first began to be researcher and developed in the 1970s. From 1978, India took over as theprimary focus of pharmaceutical production without patent protection. Prior to which it had remained relatively small scale until it began to expand at a greater rate. Laws allowing for strong patents, to shield both the process of manufacture and the specific products, came into power in most countries. By the mid-1980s, small biotechnology firms were struggling to continue in existence, whichbrought about the larger pharmaceutical companies buying out the smaller firms and the creation of mergers . Pharmaceutical manufacturing became intense, with a few large companies holding a leading position all over the world and with a small number of companies manufacturing medicines within each country. The 1980s brought pressures the of economics and a host of new regulations, both safety...