| The United States of America became a great nation by extending freedom to its people. Our forefathers believed that freedom was not only good for the soul, but the source of the wealth of nations. Today, the wealth of large corporations is as dependent on the freedom of its people as the wealth of this country was then. We often complain about the erosion of the free enterprise system. It takes great courage, and few innovators will attempt even the small steps toward that form of freedom.;What factors have led to the pharmaceutical industry's current overall cash abundance? How will the new tax reform legislation affect the way drug companies invest their cash in research, or acquire smaller R&D companies/products? What opportunities are available to start a new pharmaceutical entrepreneurship? How does one examine the feasibility of the new product innovation? How important is a business plan? The majority of space will be dedicated to risk, since economic activities are expected to reap reward in accordance with the magnitude of risk assumed. The conclusion area will address surviving the shakeout period.;This paper addresses several issues regarding innovation within the pharmaceutical industry. In fact, most of the paper is devoted to examining the opportunities of large company biotechnical investment, and issues that need to be examined by those contemplating the start-up of a brand new pharmaceutical company. The paper does not prescribe to offer conclusions as to whether innovation is best supported by existing manufacturers or new ones. It does, however, speculate as to whether scientific and technological innovation is sufficient to survive without entrepreneurial management. |
