Our Viewpoints

The reality facing the generic pharmaceuticals industry today is a continuous decline towards a purely commodity-based business, creating tremendous pressures on operating costs. 

The future of a successful generic pharmaceuticals company rests on creating a lean, flexible, multinational operation that overcomes the challenges of the traditional generic business model. History has taught us that challenging times create real opportunities for change – new ideas and new approaches.
 
Industry is forced to re-think the traditional generics model. Growth is slowing and margins are under pressure. Generic companies have reacted by reducing cost structure, improving capital efficiency and broadening their product offering. There has also been an increased focus on first generation biologics and an emphasis on high value formulations.  Despite industry challenges, generics are expected to significantly outpace originators in terms of market growth in coming years. Industry sources also expect strong growth potential in emerging markets.

Alvogen is rethinking generics, with a radical new business model that creates the pharmaceutical company of tomorrow. 

Pharmaceutical companies of tomorrow have……

….more of….
  • Broad product portfolio of high value products
  • Entry into emerging markets
  • Strategic selection of potential valued-added acquisition targets
  • Manufacturing in few selected locations where cost is favorable
  • Strategic alliances in second generation bio-similars
  • In-house R&D capabilities for high value products

….less of….

  • Conventional generic products in mature markets
  • Investing in traditional generic companies lacking strategic value
  • Scattered production sites in too many countries
  • First generation bio-similars