Recently catapulted into the pharmaceutical industry limelight, Specialty Pharma may well be the solution to many of Big Pharma' s current woes. Its success driven largely by astute manipulation of the business and market issues that currently plague Big Pharma, Specialty Pharma has shown the potential to capture and fi rmly command market spaces once dominated by Big Pharma.

Get the Answers You Need to Shape Your Strategy

The emergence of Specialty Pharma as a market force occurred as Big Pharma and Mid Pharma began to consolidate. What strategies will Specialty Pharma pursue as it continues to capitalize on Big Pharma' s looming market problems?
Patents have become a trapdoor for both Big Pharma and Mid Pharma alike; once patents expire, these companies fi nd themselves hanging in a market abyss. What methods are Specialty Pharma using to sidestep such patent expiry pitfalls? What specifi c markets or patient cohorts are receiving attention from Specialty Pharma?
Value-for-money is the mantra of today' s knowledgeable and organized health care customers-a challenge for Specialty Pharma, which has received condemnation over its pricing of orphan drugs. How can Specialty Pharma best present its pricing practices to an increasingly informed and skeptical consumer audience?

Scope

Market drivers: business factors and issues that are driving the transformation of the pharma market.
Market overview: market conditions that contributed to the emergence and subsequent growth of Specialty Pharma.
Success and uncertainty: how Specialty Pharma' s success has altered its market space, and how these companies need to respond to the changing marketplace.
Specialty Pharma business models: 11 business models, with examples of companies that utilize them.
Challenges: threats to the continued growth of the Specialty Pharma sector.
Market outlook: opportunities and strategies for Specialty Pharma companies to succeed in today' s changing pharma business environment.

Executive Summary
- Strategic Considerations
- Stakeholder Implications
An Aspirational Business Model
Transformational Drivers
- Paucity of New Products
- Parsimony of Customers
- Pharma' s Aversion to Risk
- R&D Polarization
- Lure and Trap of Patents
Misreading the Runes
The Rise of Specialty Pharma
The Price of Success
Dealing with Uncertainty
New Specialty Business Models
- Product Acquisition
- Spin-Offs
- Company Acquisition
- Research & Development
- Specialty Generics
- Drug Delivery and Formulation
- Geographic Specialization
- Therapy Area Specialization
- Customer Specialization
- Unmet Medical Need Specialization
- Orphan Drugs
Challenges
- Niche-Buster Strategies
- Theranostics
- Value for Money
- The Three Cs: Crowded, Concentrated, and Competitive
A Specialty Pharma Guide to Success
- Multivectored Business Models
- Lean Structures
- Enhanced Customer Focus
- Real Differentiation
- Value-for-Money
- Greater Acceptance of Risk
- Professionalism
Capturing the Future

Figures

1. Big Pharma, Specialty Pharma, and Biotech-Year-end Market Value, 2006
2. Research and Development Expenses, Total NDAs, and NDAs for NME Submissions, 1993-2004
3. Pharma Industry Profi ts from the Developed World, 2006
4. Specialty Pharma Forced to Reconfi gure its Business Model
5. Specialty Pharma Now Utilizes a Range of Business Models
6. Specialty Pharma' s Multivectored Business Models
7. Specialty Pharma Needs a Holistic Approach to Differentiation to Create New Value Perceptions