The pharmaceutical industry continues to evolve, with both drug approvals and the cost of making new drugs trending upwards.
Despite ruthless cost-cutting and reducing investment in both commercial and R&D infrastructure, the world’s top pharmaceutical companies continue to grow their top-line revenue.
In our white paper, we classify leading companies into three segments to illustrate the contrasting dominant strategic philosophies that have been applied to achieve business growth:
- Build – companies typically invest 10-25% of revenue in R&D and have maintained excellent profitability by focusing on what they uniquely do well.
- Breakthrough – companies have typically invested more than 25% of revenue in R&D and have achieved success from a limited number of highly innovative products.
- Buy – companies that have taken a primarily acquisition-oriented approach to growth, typically investing less than 10% of revenue in R&D and achieving relatively low annual profitability as a % of revenues.
Many of the companies had one critical factor in common – a bespoke strategy that focussed on the capabilities they uniquely excel at.
To find out why developing distinctive, best-in-class expertise is crucial for growth, download the full report via the button above.
