How a Pharmaceutical Company Integrated Biotechnology into its drug development and emerged with a Strong Market Position?

Notwithstanding a successful business history in the field of pharmaceuticals, the rising demand for organic low-cost drugs threatened the organization’s market share. The company authorities sought the services of Research Nester Private Ltd to help them find a solution for facilitating a change of strategy for sustainable growth.


An overview:


A major pharmaceutical company in the U.S. produced drugs for managing arthritis and cancer. It used acetone and other chemicals as ingredients. These chemicals have been linked to the introduction of xenobiotics into the environment. With the growing awareness regarding the toxicity of chemicals, the demand for the drugs started falling gradually over the years.


The company had finally reached a break-even point when Research Nester offered to re-strategize its production processes by incorporating biotechnology.


The product portfolio of the company had some very important drugs. There were a few chemicals that were non-toxic and environmentally friendly, and a few others that could be replaced with organic compounds such as acetone could be substituted with the organic Methyl Acetate. Rest had to be practically replaced by using a different approach to drug development.


The Story

The company had been in the healthcare industry for around 3 decades. It produced a few lifesaving drugs and others related to general and specific diseases. With the rising attention towards the impact of chemicals on the environment and life and the serious side effects of some chemicals on humans, the demand for the drugs gradually started showing a decline. The company was facing allegations of introducing xenobiotics in the environment from its cancer drug production. The organization had other drugs too that were going through the same challenge and facing a dripping market share. The environmental impact of the wastewater produced from the chemicals used in drug manufacturing did not go down well with the government regulations. In the year 2016, the company had to pay USD 75,000 in civil penalty violations for its wastewater disposal. Apart from that, government penalties and fines dented the market reputation and position of the company. The shares fell initially -25% QoQ in 2014 and then approximately -45% YoY till 2017. The company was facing severe losses by the end of 2017 when it finally brought RNPL into its realm to figure out a life-saving strategy for the company. Research Nester offered a customized solution for Pharmaceutical & Biotechnology Environmental Monitoring analysis, which helped the organization in switching its product development from chemical to organically sustainable. The major areas that required focus as observed by Research Nester analysts were-

  • Finding organic or biological substitutes for toxic chemicals
  • Experimenting with better and eco-friendly modes of drug manufacturing
  • Innovating new drug models using biotechnology
  • Monitoring health outcomes and the long-term impact of the drug on the environment and patient health.
  • Increasing focus on wastewater disposal by deploying effective wastewater treatment plans.

Utilizing these analytical tools, the client was able to re-strategize its policies and practices, and strictly monitoring the product performance from the perspective of the environment and public health led to a better market reputation for the company. The per unit share price of the organization has been seeing a consistent rise and is currently valued at USD 576 as of 31st March 2023.


Research Nester, being a leader in market research analysis of the healthcare and pharmaceuticals industry, made an in-depth study of the durability, cost/pricing, ergonomics, and accuracy of the products developed by the company along with their health efficacy and environmental impact. Moreover, RNPL’s epidemiology services analyzed the product offerings regarding their safety and effectiveness in relation to long-term disease management, prevention, and healthcare interventions. Research Nester consultants developed strategies to incorporate organic substitutes as raw materials and use biotechnology for drug production processes. The company was also advised to expand its product offerings using innovative techniques. Tissue engineering technology could be deployed in developing regenerative medicine for specific health concerns. This could establish a strong market position for the healthcare company.


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Swara Keni

Head- Global Business Development

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