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Abstract

If we want to understand how the drug and biotechnology business works and what makes it different, we need to understand which characteristics of the R&D process are unique. While drug research and development (R&D) is similar in many ways to R&D in other sectors, the challenges of drug R&D are dictated, in part, by the limits of biological knowledge and the constraints imposed by human biology. This chapter probes the unique characteristics and organizational and management challenges of drug R&D that influence the fundamental economics of the business.

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Abstract

If we want to understand how the drug and biotechnology business works and what makes it different, we need to understand which characteristics of the R&D process are unique. While drug research and development (R&D) is similar in many ways to R&D in other sectors, the challenges of drug R&D are dictated, in part, by the limits of biological knowledge and the constraints imposed by human biology. This chapter probes the unique characteristics and organizational and management challenges of drug R&D that influence the fundamental economics of the business.

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