Collaboration is the key to growth
With the recent economic turmoil affecting many markets around the world, the generic and branded sectors face similar problems.
At one time the generic sector was seen as a valuable way to bring effective products to a wider audience. This, allied to the rising cost of new advanced branded products, led to rapid expansion of the generics sector. Even markets traditionally based in the provision of branded medicines have made moves to increase generic prescribing.
But pressure on health spending is seeing downward pressure on generic prices. With lower margins this is creating pain for generics companies.
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SME Generic companies offer focused opportunities
With established markets compromised, where can the industry go? Expansion in the sector has been seen through more partnering, either through outright acquisition to increase market share or through product and marketing licensing. Being bigger and having improved market access is seen as a way of distributing cost and strengthening revenues. While major players such as Teva and Sandoz play an international role, there are a number of established and progressive generic manufacturers worthy of consideration.
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