Pharmaceuticals - Industry
The pharmaceutical industry consists of drug manufacturers, biotechnology companies, and the distribution and wholesale companies that handle the products produced. This industry is primarily focused on medicinal and veterinary chemical and biological compounds. Compared to other industries, the pharmaceutical industry boasts a relatively high percentage of funds spent on extensive R&D and is one of the largest employers of scientists.
- The majority of the revenues in the pharmaceutical industry come from drug companies that make prescription, generic, and over-the-counter drugs for medical or veterinary use.
- The leading companies in the industry are referred to as Big Pharma and generate more than 50% of the industry’s sales.
- The majority of Big Pharma's are headquartered in the United States, United Kingdom, Switzerland, Germany, and France.
- The remainder of the industry is very fragmented, with many specialty companies, small biotech companies, and other start-up companies that concentrate on a specific product.
- These companies are often bought up by Big Pharma before they can become a threat.