What is The Pharmaceutical Industry?

Summary

The pharmaceutical industry encompasses manufacturers that create drugs, including both original and generic manufacturers. Original manufacturers, also known as research-based companies, focus on developing new drugs and often lead in specific medical areas, investing heavily in branding and sales. In contrast, generic manufacturers produce drugs using expired patents, offering lower-cost alternatives without conducting research. The industry's product range is extensive, covering drugs for human and veterinary medicine, excluding medical devices. Pharmaceutical companies are subject to strict regulations, including pharmacovigilance, risk management, and adherence to good manufacturing practices. Notable industry leaders include Hoffmann-La Roche, Pfizer, Merck, Johnson & Johnson, Bristol-Myers Squibb, Sanofi, Advi, and GlaxoSmithKline, with a combined turnover exceeding $350 billion.

Takeaways

• 💊 The pharmaceutical industry includes companies that manufacture drugs, known as pharmaceutical manufacturers.
• 🔬 Pharmaceutical companies are involved in research and development, manufacturing, and marketing of drugs.
• 🏭 There are two main types of manufacturers: original (research-based) manufacturers and generic manufacturers.
• 🧪 Original manufacturers specialize in specific areas and invest heavily in branding and sales, while generic manufacturers offer drugs at lower prices after patent expiration.
• 📈 Original manufacturers often work with subsidiaries or external manufacturers to produce generics and improve the value-added cycle.
• 🐾 The industry's product range is vast, including drugs for human and veterinary medicine, but not medical devices.
• 🏗️ Pharmaceutical companies can manufacture their products or use contract manufacturers like contract manufacturing organizations (CMOs).
• 📜 Companies are subject to special pharmaceutical laws, including pharmacovigilance and risk management systems, and must adhere to good manufacturing practices.
• 🌍 Each country has its own set of laws and regulations that pharmaceutical companies must follow.
• 💰 The world's largest pharmaceutical manufacturers have a combined turnover of over 350 billion U.S. dollars.
• 📊 The largest companies include Hoffmann-La Roche, Pfizer, Merck, Johnson and Johnson, Bristol-Myers Squibb, Sanofi, Advi, and GlaxoSmithKline.

Q & A

What is the pharmaceutical industry?

The pharmaceutical industry consists of manufacturers, also known as pharmaceutical companies, that produce drugs. This includes a range of activities from research and development of new active ingredients to the manufacturing and marketing of pharmaceuticals.

What are the two main groups pharmaceutical manufacturers can be divided into?

Pharmaceutical manufacturers can be divided into two main groups: original manufacturers, also known as research-based manufacturers, and generic manufacturers.

What characterizes original manufacturers in the pharmaceutical industry?

Original manufacturers are characterized by conducting pharmaceutical research and development of new drugs. They often specialize in selected indication areas where they are market leaders and invest heavily in branding and sales.

What is the primary difference between generic and original manufacturers?

Generic manufacturers typically do not conduct research but use active ingredients for which patent protection has expired. They can offer drugs of the same quality at significantly lower prices due to lower research and development costs.

How do original manufacturers work with generics?

Original manufacturers often work with subsidiaries that produce generics or cooperate with external generics manufacturers to improve the value-added cycle of their active ingredients.

What types of products are included in the pharmaceutical companies' product range?

The product range includes a wide variety of drugs for both human and veterinary medicine, such as finished drugs, blood preparations, serums, vaccines, in vivo diagnostics, allergen preparations, and drugs for novel therapies like gene therapeutics and biotechnologically processed tissue products.

What are some examples of novel therapies mentioned in the script?

Examples of novel therapies include gene therapeutics, somatic cell therapeutics, and biotechnologically processed tissue products.

What is not considered a medicine by pharmaceutical companies?

Medical devices such as bandages, catheters, or artificial joints are not considered medicines, even if some pharmaceutical companies manufacture them.

What are the special obligations that pharmaceutical companies are subject to?

Pharmaceutical companies are subject to special pharmaceutical law obligations, which include the implementation of a pharmacovigilance and risk management system, as well as a quality management system in accordance with good manufacturing practices for clinical trials.

What are the largest pharmaceutical manufacturers in the world?

The world's largest pharmaceutical manufacturers are currently Hoffmann La Roche, Pfizer, Merck, Johnson and Johnson, Bristol-Myers Squibb, Sanofi, Advi, and GlaxoSmithKline.

What is the combined turnover of the mentioned largest pharmaceutical manufacturers?

Together, these companies have a turnover of more than 350 billion U.S. dollars.

What are the different types of manufacturers that can produce medicines?

Medicines can be manufactured by the pharmaceutical company themselves or by contract manufacturers, such as a contract manufacturing organization.

What is the role of pharmacovigilance in the pharmaceutical industry?

Pharmacovigilance is a system that monitors the safety of drugs and ensures that the benefits of using a medicine outweigh any potential side effects or risks once it is available to patients.

Outlines

00:00

💊 Introduction to the Pharmaceutical Industry

This paragraph introduces the pharmaceutical industry, explaining that it is made up of companies that manufacture drugs. The industry encompasses a range of activities from research and development of new drugs to manufacturing and marketing. It differentiates between original manufacturers, who are involved in the development of new drugs and typically specialize in certain areas, and generic manufacturers, who produce drugs using expired patents, often at lower costs. The paragraph also touches on the various types of medicines produced, including human and veterinary medicines, and the regulatory requirements that pharmaceutical companies must follow. It concludes with a mention of the world's largest pharmaceutical companies and their combined turnover.

Keywords

💡Pharmaceutical Industry

The pharmaceutical industry is the sector of the economy that is involved in the research, development, production, and marketing of drugs. It includes both the creation of new medications and the manufacturing of existing ones. In the video, this industry is the central theme, as it discusses the various aspects and players within it.

💡Pharmaceutical Manufacturers

Pharmaceutical manufacturers are companies that produce drugs. They are a key component of the pharmaceutical industry and are responsible for the actual creation of medications. The script mentions that these manufacturers can be divided into original and generic manufacturers, highlighting the diversity within the industry.

💡Research and Development (R&D)

Research and development refers to the process of creating new drugs or improving existing ones. It is a critical aspect of the pharmaceutical industry and involves scientific inquiry and experimentation. The video emphasizes the importance of R&D in the context of original manufacturers, who are characterized by their pharmaceutical research and development of new drugs.

💡Original Preparations

Original preparations are drugs that are developed by pharmaceutical companies through extensive research and are protected by patents. These drugs are often the result of significant investment in R&D and are marketed under the manufacturer's own name. The script notes that original manufacturers specialize in selected indication areas and invest heavily in branding and sales.

💡Generics

Generic drugs are medications that are chemically equivalent to brand-name drugs but are sold under different names. They are typically produced after the patent protection of the original drug has expired. The video points out that generic manufacturers do not conduct research but offer drugs at significantly lower prices, making them accessible to a wider population.

💡Marketing Authorization Holder

A marketing authorization holder is an individual or company that has received permission from regulatory authorities to market a pharmaceutical product. The script mentions this term in the context of pharmaceutical manufacturers placing their products on the market under their own name as a marketing authorization holder.

💡Pharmacovigilance

Pharmacovigilance is the science and activities relating to the detection, assessment, understanding, and prevention of adverse effects or any other possible drug-related problems. It is a crucial part of the pharmaceutical industry's commitment to safety. The video script includes this term when discussing the obligations of pharmaceutical companies.

💡Good Manufacturing Practice (GMP)

Good Manufacturing Practice is a system for ensuring that products are consistently produced and controlled according to quality standards. It is a regulatory standard that pharmaceutical companies must follow to ensure the quality of their products. The script refers to GMP in the context of quality management systems for clinical trials.

💡Veterinary Medicine

Veterinary medicine involves the medical treatment of animals. It is a part of the pharmaceutical industry's scope, as companies also produce drugs for animals. The video script mentions that the product range of pharmaceutical companies includes drugs for both human and veterinary medicine.

💡Novel Therapies

Novel therapies refer to innovative medical treatments that are different from traditional ones. The script mentions gene therapeutics and somatic cell therapeutics as examples of novel therapies. These therapies represent the cutting edge of pharmaceutical research and are part of the industry's drive to develop new treatments for various conditions.

💡Contract Manufacturing Organization (CMO)

A Contract Manufacturing Organization is a company that provides contract manufacturing services for the pharmaceutical industry. Some pharmaceutical companies may choose to outsource the production of their drugs to CMOs. The script indicates that medicines can be produced by the pharmaceutical company themselves or by contract manufacturers like CMOs.

💡Regulations and Guidelines

Regulations and guidelines are the rules and standards set by governments and regulatory bodies that pharmaceutical companies must adhere to. These are in place to ensure the safety, efficacy, and quality of pharmaceutical products. The video script notes that every country has its own set of laws, guidelines, and regulations for pharmaceutical companies.

Highlights

The pharmaceutical industry includes companies that manufacture drugs.

Activities in the industry range from R&D of new drugs to manufacturing and marketing.

Pharmaceutical manufacturers are divided into original and generic manufacturers.

Original manufacturers are research-based and specialize in certain indication areas.

Original manufacturers invest heavily in branding and sales.

Generic manufacturers do not conduct research but use expired patent ingredients.

Generic drugs are offered at significantly lower prices than original drugs.

Most generic manufacturers are full range suppliers offering many different active ingredients.

Original manufacturers may work with subsidiaries or external manufacturers to produce generics.

The product range of pharmaceutical companies includes a variety of drugs for human and veterinary medicine.

Pharmaceuticals include finished drugs, blood preparations, serums, vaccines, and more.

Medicines do not include medical devices like bandages or artificial joints.

Pharmaceutical companies can manufacture their own products or use contract manufacturers.

Pharmaceutical companies are subject to special legal obligations including pharmacovigilance and quality management.

Different countries have their own laws, guidelines and regulations for the pharmaceutical industry.

The world's largest pharmaceutical manufacturers have a combined turnover of over 350 billion U.S. dollars.

The largest companies include Hoffmann La Roche, Pfizer, Merck, Johnson and Johnson, and others.

The video provides a comprehensive overview of the pharmaceutical industry and its key players.

Transcripts

[Music]

hi and welcome back to our gcp mindset

channel and all topics on clinical

research

today we'll talk about the

pharmaceutical industry to give you a

small overview

so what is the pharmaceutical industry

more after the break

[Music]

let's dive right in

pharmaceutical manufacturers also known

as pharmaceutical companies and

collectively referred to as the

pharmaceutical industry are

entrepreneurs or companies that

manufacture drugs

the spectrum of activities includes

research and development for new active

ingredients and dosage forms the

manufacture of pharmaceuticals original

preparations or generics and the placing

on the market under one's own name as a

marketing authorization holder or as a

co-distributor

in general pharmaceutical manufacturers

can be divided into two groups original

and generic manufacturers the original

manufacturers are also referred to as

research-based manufacturers and are

characterized by pharmaceutical research

and the development of new drugs

original manufacturers usually

specialize in selected indication areas

in which they are market leaders

they typically invest heavily in

branding and sales generic manufacturers

on the other hand usually do not conduct

any research but use active ingredients

for which patent protection has already

expired

due to the low research and development

costs it is possible for generic drug

manufacturers to offer drugs of the same

quality at significantly lower prices

than is possible for the researching

manufacturers

most generic manufacturers appear on the

market as full range suppliers and offer

as many different active ingredients as

possible in many cases original

manufacturers work with subsidiaries

that produce generics or cooperate with

external generics manufacturers in order

to improve the value-added cycle of

their active ingredients

the product range of the pharmaceutical

companies includes a wide variety of

drugs for both human and veterinary

medicine such as finished drugs blood

preparations serums vaccines in vivo

diagnostics allergen preparations and

drugs for novel therapies for example

gene therapeutics somatic cell

therapeutics biotechnologically

processed tissue products medicines do

not include medical devices such as

bandages catheters or artificial joints

even if some of these are manufactured

by pharmaceutical companies medicines

are either manufactured by the

pharmaceutical company themselves but

they can also be produced by contract

manufacturers like contract

manufacturing organization

pharmaceutical companies are subject to

special pharmaceutical law obligations

implementation of a pharmacovigilance

and risk management system quality

management system in accordance with

good manufacturing practice for clinical

and clinical trials in order to ensure

the quality effectiveness and safety of

their products

every country has its own laws

guidelines and regulations for

pharmaceutical companies which the

companies must adhere to the world's

largest pharmaceutical manufacturers are

currently hoffmann la raj naverties

pfizer merck johnson and johnson

bristol-myers squibb sanofi advi and

glaxosmithkline

together these companies have a turnover

of more than 350 billion u.s dollars

so much for our explanation of what

pharmaceutical companies are

we hope that we could give a good little

overview