Canada Pharmaceutical Greenfield Investments
The global pharmaceutical and life sciences industry continues to evolve from the original models that have driven growth and sustained the market for years. Fewer blockbuster drugs, which historically drove industry growth, are being developed by multi-national pharmaceutical companies. Instead, those companies are turning their attention to developing biologic products and other medications which are more focused, and many of which require even more extensive research & development. Additionally, the patents of popular and profitable medications, whose sales represent nearly $60 billion for their manufacturers, are beginning to expire. This allows generic manufacturers and other companies to create equivalent drugs to capture brand named companies’ market share and force companies such as Pfizer, Merck, and Novartis to focus their resources on creating strategies that defend market share instead of growing market share. The performance of the Canadian pharmaceutical market has shown stronger growth than the global market since the recession, but is that translating into investments in pharmaceutical industry in Canada?