Second tier emerging markets: An overview of opportunities and challenges for Pharma
As opportunities in mature markets wane, pharmaceutical companies are looking to second-tier emerging markets for growth. Many developing regions are experiencing a shift from a prevalence of infectious disease to more lifestyle-related diseases such as obesity, diabetes, and cardiovascular issues due to an increase in personal wealth. Some of the opportunities present in these regions include research and development prospects, a large population with treatment-naïve candidates for clinical trials and the potential to expand global market presence. Pharmaceutical companies assessing the potential and challenges of these markets may find partnering with local manufacturers a successful option.
Second-tier emerging markets are at the forefront of strategic planning as pharmaceutical companies scout for growth opportunities. Latin America, Africa, Russia, the Middle East and Southeast Asia are attractive regions for investments based on population, increasing personal wealth and the rise in lifestyle-related diseases. Offering potential for novel research and development programs, as well as, large populations of treatment-naive candidates for clinical trials these regions command the attention of innovators. Meanwhile, expanding sales and marketing opportunities appeal to the industry as a whole.
Excluding Russia, these large regions are comprised of a number of countries with separate governments, laws and regulations; therefore navigating the requirements of each country can be cumbersome.
Countries grappling with or recovering from political unrest present both roadblocks and opportunity for pharma: on the one hand, volatile and changing environments breed uncertainty; on the other hand, these regions have significant need for medicines, industry and stability. Governments are working to improve access to health ...