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Biotechnology - Industry Analysis - new market research report published
Biotechnology - Industry Analysis - a new market research report on 2014-03-06 01:25:02
The Biotechnology Industry is a highly volatile and unpredictable sector due to the scientifically intensive nature of the operations of companies that reside here. Markets served include medical, agricultural, environmental, and industrial. This industry emerged in the 1970s, with the main goal of enhancing the quality of human life. Biotech firms differ from conventional drug makers in that they utilize natural ingredients, as opposed to synthetic ones. Drugs are manufactured in a living system, i.e., a microorganism, plant or cell. On the medical front, the endeavor to improve people´s health is fulfilled through the creation of recombinant DNA (deoxyribonucleic acid), which is done by combining DNA sequences that do not naturally intermingle. With these DNA alterations, biotech companies have discovered treatments and therapies for a range of diseases, such as various forms of cancer, AIDS, Alzheimer´s, and diabetes. This industry seeks to optimize profitability via commercial success; an outcome that is the pinnacle of triumph for any biotech company. In order to reach such a position, companies must undertake laborious research. Biotechnology firms are among the most research-intensive organizations in the world. Their product pipelines, a vital component of expansion, are capital intensive. Established companies typically fund their growth ventures with cash flow, but the debt and equity markets are sometimes tapped. Since many biotech companies are small, and cash is often scarce, external funding can be important. Patrons are typically big pharmaceutical companies or investment entities that stand to reap significant rewards from taking a stake in a drug that is commercialized. During difficult economic times, outside funding often dries up, as lenders become budget-constrained and more cautious about investments.

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