The focus of the industry is living organisms, and the strict regulated standards make it a distinct consideration for business leaders. These characteristics make the industry a natural incubator for innovations, which has led to major breakthroughs that have boosted the quality of agriculture, led to the creation of biofuels, and even led to life-saving pharmaceutical products.
When you think of strategies to generate revenue biotech start-ups have a myriad of options. The majority opt for a technology partnership or an asset creation-and-out-licensing strategy. Technology partnering can bring higher revenue and lower financial risk, whereas assets creation and outlicensing strategies can generate significantly more returns. A growing number of biotechs that are in research phase operate an hybrid model that blends both strategies.
The people who choose a product-oriented development strategy will be successful commercially https://genotec-frankfurt.de/biotechnological-synthesis-of-remedies/ if they can get their pipeline to the appropriate stage and attract a large Pharma partner or an investor with deep pockets. This can be costly however, and balancing opportunistic approaches to leveraging outside resources while making the right scientific decisions about homegrown projects is key.
In addition, the “platform” model can provide an alternative way to earn revenue. It is a less expensive route than the product-oriented development however it carries substantial risk. In this model, a biotech is the owner and develops its platform technology prior to joining with major pharma companies to create a portfolio drug discovery projects that focus on specific diseases (i.e. disease the x gene within biology y). This is the method Advinus Therapeutics and a few others have followed.