A poor prognosis: The loss of patent protection keeps the industry feeling under the weather

Companies in the Pharmaceutical Preparations Manufacturing industry make various medicines, vaccines, biotech pharmaceuticals and botanical products for pharmaceutical use. The United Kingdom is one of the largest pharmaceutical markets in the world, so the industry commands an important position in both the global pharmaceutical market and the UK economy. The industry is particularly important in terms of its research and development contribution. The bulk of industry revenue is derived from export sales. However, imports satisfy the lion’s share of domestic demand. Nevertheless, both import and export figures are highly inflated due to significant re-export activity.Over the past five years, operating conditions have been relatively difficult...read more.

Industry Statistics & Market Size
Revenue
£14.9bn
Annual Growth 13-18
-1.5%
Forecast Growth 18-23
Profit
Employment
49,326
Businesses
443

Industry Threats & Opportunities

  • The loss of patent protection for profitable drugs hindered the industry’s performance
  • Competition from cheaper imported drugs has resulted in industry profit coming under pressure
  • An ageing population and concerns about obesity are expected to positively influence the industry
  • Industry Report - Starting a New Business Chapter

    The industry has moderate barriers to entry. One of the most significant barriers is the high and increasing level of globalisation, with the major players operating on a global scale. These multinational operators command significant market strengths on both a global and local basis.Government regulatory policies are another significant barrier to entry. The Pharmaceutical Preparations Manufacturing industry is one of the most highly regulated industries in the United Kingdom, with most aspects of industry operations subject to some degree of regulatory control. This degree of control can discourage the entry of new firms.The existence of the Pharmaceutical Price Regulation Scheme may also deter entry in some product segments. How...purchase to read more.

    Additional Insights for the Pharmaceutical Preparations Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Pharmaceutical Preparations Manufacturing Industry are

  • Having technology sharing arrangements with other major players
  • Ability to alter goods and services produced in favour of market conditions
  • Superior financial management and debt management
  • IBISWorld analysts also discuss how external factors such as Population aged 65 years and over and Real effective exchange rate in the Pharmaceutical Preparations Manufacturing industry impact industry performance..

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    What's in this report

    What is the Pharmaceutical Preparations Manufacturing Industry?

    This industry includes companies that manufacture medications, chemical contraceptive products, medical diagnostic preparations, radioactive in-vivo diagnostic substances and biotech pharmaceuticals. It also includes those that manufacture medical impregnated wadding, gauze, bandages and dressings, and that prepare botanical products for pharmaceutical use.

    Industry Products
  • Adhesives and bandages
  • Antisera and other blood fractions
  • Animal health products
  • Vaccines and antibiotics
  • Biotechnology drugs
  • Therapeutic or prophylactic medication
  • Other medicaments
  • Chemical contraceptive preparations
  • Industry Activities
  • Manufacturing antisera and other blood fractions, vaccines and diverse medications
  • Manufacturing chemical contraceptive products for external use and hormonal contraceptive medication
  • Manufacturing medical diagnostic preparations, including pregnancy tests
  • Manufacturing radioactive in-vivo diagnostic substances
  • Biotech pharmaceutical
  • Manufacturing medical impregnated wadding, gauze, bandages and dressings
  • Preparing botanical products for pharmaceutical use
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Population aged 65 years and over
  • Real effective exchange rate
  • Total health expenditure
  • MSCI World Index

  • Current Performance
  • Export sales
  • Regulatory changes
  • Profitability declines
  • Structural changes
  • Chart: Revenue Growth

  • Industry Outlook
  • Demand trends
  • Patent expirations
  • Margins constrained
  • Table: Pharmaceutical Preparations Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Pharmaceutical Preparations Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Pharmaceutical Wholesaling
  • Dispensing Chemists
  • Hospitals

  • Key Selling Industries
  • Basic Pharmaceutical Product Manufacturing
  • Research and Experimental Development on Biotechnology

  • Products & Services
  • Therapeutic or prophylactic medication
  • Vaccines and antibiotics
  • Biotechnology drugs
  • Other medicaments
  • Animal health products
  • Adhesives and bandages
  • Chemical contraceptive preparations
  • Antisera and other blood fractions
  • Chart: Pharmaceutical Preparations Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Wholesalers
  • Pharmacies
  • Hospitals
  • Other
  • Chart: Major Market Segmentation for the Pharmaceutical Preparations Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciationOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Pharmaceutical Preparations Manufacturing

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Pharmaceutical Preparations Manufacturing Industry

  • Industry Globalization
    AstraZeneca UK Ltd, Glaxo Operations UK Ltd, Novartis UK Ltd,
  • Table: AstraZeneca UK Ltd - financial performance
  • Table: Glaxo Operations UK Ltd - financial performance
  • Table: Novartis UK Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Pharmaceutical Preparations Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Pharmaceutical Preparations Manufacturing Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Blockbuster Drugs
  • Products that generate annual sales in excess of US$1 billion.
  • Generic Drugs
  • Drugs that are produced and distributed without patent protection.
  • Pharmaceutical Price Regulation Scheme (Pprs)
  • The PPRS is a mechanism used by the Department of Health to control the prices of branded prescription medicines supplied to the NHS.
  • What Our Customers Say

    Why buy this report?

    The Pharmaceutical Preparations Manufacturing market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Pharmaceutical Preparations Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Pharmaceutical Preparations Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Pharmaceutical Preparations Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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