Contract research organizations (CROs), on a contract basis, offer the services of research and development (R&D) to pharmaceutical and biotechnology companies, government institutions, foundations and universities. Several pharmaceutical and biotechnology companies are depending on these contract research organizations and other research service providers to perform their research and development operations smoothly in recent times. CROs offer support in activities like pre-clinical services, clinical trials and post-clinical trials. The organizations can increase their focus on core businesses like sales, marketing, management of products, etc., by contracting with the CROs. The outsourcing of R&D services to CROs help the pharmaceutical companies to manage their clinical data, biostatistics, improve in-house abilities, improve the scope of R&D, increase cost-efficiency and the use of resources, introduce innovation and achieve timely introduction of products in the market.
The increasing global presence of the pharmaceutical and biotechnology firms is encouraging them to opt for global outsourcing of R&D services to the CROs. With the increasing scope for clinical trials and to meet the growing demand for patient access, the companies are outsourcing their services to improve cost-efficiency. Developing nations like China, Brazil, Latin America and Eastern Europe are the most preferred CRO markets with the lot of growth opportunities. The global CRO market is predicted to grow at a CAGR of 9.5% to reach close to USD 75 billion by 2024f in the forecast period between 2017e and 2024f.
The stress on the market due to growing healthcare prices, requirement for productivity in research and development, expiry of patents and strict government regulations for the approval of new drugs are the major growth drivers for the CRO markets worldwide. The growing outsourcing activities by pharmaceutical organizations is also promoting the market. Furthermore, the focus of the companies on improving their core businesses and achieve targets at low cost are also fuelling the market for CROs.
The market for contract research organizations is also facing some tough challenges like strict regulatory compliance policies for the approval and launch of new products, lack of skilled professionals for research and development activities, and increasing number of product recalls from the market, which can restrict the rapid expansion of the market. However, the growing M&A activities of the organizations, increasing investments in the R&D activities, the introduction of new clinical trial outsourcing venture in developing nations and growing private equity investments in the R&D activities are strengthening the market for contract research organizations.
Based on geography, Americas region comprises of North America and Latin America. North America leads the global contract research organizations market due to the increased investments in the pharmaceutical products, growing demand for outsourcing activities and increase in clinical trial activities in the USA, Canada and Mexico. Latin America is slowly increasing its contribution by bringing changes in the outsourcing activities in Brazil, Argentina, Mexico and the Rest of LA in recent years.
The report delivers a strategic analysis of the global market for CROs, and growth forecast for the period from 2017e – 2024f. The scope of the report includes competitive analysis of various market players who are operating in the market, segmental analysis based on type of clinical trial phases and therapeutic areas. It also covers geographical analysis of the market with growth forecast for the period of 2017e – 2024f. The Porter’s Five Forces analysis and value chain analysis included in the report provides an insight into market dynamics and industry competition.
The study also provides information for recent merger and acquisition deals happened in the global CRO market. Moreover, the report also includes growth strategies and entry barriers to be considered to cater to the exact business opportunities in this market. Additionally, to aid in strategic decision making, the report also includes competitive profiling of leading players, recent developments in the industry and various business strategies adopted by them. This report will help players in global CRO market to plan and implement their strategies in different market areas such as emerging geographies, and new technologies
The company profile section includes detailed analysis of some of the key players such as Covance, Inc., Quintiles Transnational Holdings Inc., PAREXEL International Corporation, PRA Health Sciences and PPD, Inc.
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