With the exception of Forest Labs, small companies haven't been able to build sustainable businesses in primary care because they can't generate enough returns (generally from expensive-to-acquire marketable products) to both restock a pipeline and drop requisite profits to the bottom line. Now Sepracor aims to be the first to do so, thanks to a research shortcut. Investors, hungry for a successful biopharma business model, are watching closely.
By Roger Longman
There's a bright line dividing the industry, running between Big
Pharma and nearly everyone else: primary care.
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