Today we will talk about the pharma companies and how they perform against the competition. Like Modapharma, they try to create and bring innovative drugs to the global population.

But this couldn't be sustainable for the long term since producing new drugs is a harsh task. Let's see why this happens and how modern society can ensure drug continuity.

Developing a New Drug Requires a Huge Capital Spent

Developing a new drug? This can be a huge cost. Funding an experimental drug's development can be costly and difficult. According to a recent report from the New England Journal of Medicine, pharmaceutical companies spent nearly $1 billion on clinical trials for drugs that subsequently were rejected in 2011 alone (and that's not even including drugs that were approved). Those figures include prices for salaries for staff in clinical testing laboratories, laboratory equipment and supplies, administrative expenses, and other costs.

It takes a lot of money to develop and bring a new drug to market, as well as run clinical trials. The cost of development is typically in the range of $1 billion per new drug, which brings some estimates for the total cost of bringing a new drug to market at about $28 billion for all of them.

Approval from FDA for New Drugs is Not Guaranteed

The approval of a drug is not a given. It can be denied or delayed by the FDA, and there may be certain clinical trial requirements for it to be approved. The approval process for new drugs that are majorly based on clinical trials can take up to 10 years. The approval by the FDA can be delayed or denied due to a number of reasons, like who profits from approving a drug?

On the other hand, you cannot keep all your eggs in the same nest. Pharma companies usually decrease the risk by adding more indications to a new drug. Or sometimes, they have multiple substances to get approved by the FDA in an effort to spread the risk to many drugs. That helps them to have better risk management and eases the pressure coming from the board of regents that will easily appoint a new CEO to the company and change it all from scratch.

Pharma Companies Need to Have Many People Working Together

A good pharmaceutical company needs to have many people working together, including scientists and executives. Scientists are responsible for discovering new medicines while executives make decisions on the marketing of these products.

This includes having engineers, scientists, and researchers all working together to write code, and design the machine or product that could save dozens of lives or improve the quality of years of living for many people.

Although we work together and keep each other informed, there are people who dedicate a lot of their time to specific areas of this business. Scientists are the men and women who discover new medicines that could provide help to those with certain illnesses. Executives, on the other hand, work on the marketing aspect of these drugs and make sure they reach their target market.

A pharmaceutical company is made up of all kinds of people. Imagine a creative, impetuous creator with an unlikely name like Steve Jobs who, despite his temper and his strong personality, manages to bring together the best minds in the world to form a new technology.

Final Words

Pharma companies remain in the top tier of companies producing drugs and being profitable. That is why they are the most wanted companies in the world and some of the ones that give the best benefits to their employees.