The global glioblastoma market is characterized by the presence of many global, regional, and local vendors. The market is highly competitive with all players competing to gain a stronghold in the market. The presence of intense competition, increasing incidence of glioblastoma and brain cancer, growing research in the area of glioblastoma, and rising adoption of chemotherapy for the treatment of glioblastoma are the factors propelling the market growth. The manufacturers are competing based on cost, quality, and reliability. It is decisive for the manufacturers to provide cost-efficient and high-quality products to survive and succeed in an intensely competitive and growing market environment.
The growth of market vendors is dependent on market conditions, government support, and industry development. Therefore, manufacturers should focus on geographic expansions and product performance improvements. They should primarily focus on the development of novel products. Though multinational market players are spearheading the market, regional, and international market players with small market shares also have a considerable presence. The international market players can strengthen their presence across the world through acquisitions made during the assessment period. It has also been predicted that development of the global economic scenario along with efforts to sophisticate infrastructure in emerging countries is assisting in the market growth, thereby making it an ideal time for new products and to increase the global market share.
F. Hoffmann-La Roche Ltd (Roche), through its subsidiaries, provides pharmaceutical and diagnostic solutions including advanced deoxyribonucleic acid (DNA) tests, diabetes monitoring supplies, and point-of-care diagnostics. The company develops and markets products for the diagnosis and treatment of anemia, cancer, anticoagulation therapy, cardiovascular diseases, diabetes, central nervous system, chlamydia, dermatology, gonorrhea, gout, hepatitis B and C, hemostasis disorders, human immunodeficiency virus infection/acquired immunodeficiency syndrome (HIV/AIDS), human papillomavirus (HPV), infectious diseases, and autoimmune diseases. The company has a strong presence in more than 100 countries around the globe. The firm invests in research & development for the innovation and development of novel products to enhance its product portfolio. The company is also engaged in expanding its presence in various countries through mergers & acquisitions.
Merck & Co., Inc. (Merck) is engaged in the discovery, development, manufacturing, and marketing of medicines, biologic therapies, vaccines, and animal health products. Merck operates through four segments—pharmaceutical, animal health, healthcare services, and alliances. The company emphasizes developing a varied product portfolio through the innovation and development of products, thus delivering integrated solutions to large healthcare customers. The company is involved in making externally sourced programs a more significant component of its pipeline strategy, with a strong focus on internal research and external alliance via collaborations. It aims to expand its product portfolio through R&D investments.
Teva Pharmaceutical Industries Ltd (Teva) has more than 1,800 molecules that are used to create a wide variety of generic products in all therapeutic areas. The company is specialized in generic medicines, the central nervous system (CNS), brand and specialty medicines, oncology, active pharmaceutical ingredients, respiratory, women's health, and biologics. Teva has more than 35,000 unique products and has produced 120 billion tablets and capsules in 2017. Teva is present in North America, Latin America, Europe, Japan, and South Korea and operates in over 60 countries worldwide. Teva is striving to capitalize on its advantages including having the most extensive generic medicines business in the world, a focused specialty business, a unique over-the-counter (OTC) business, and extensive R&D and active pharmaceutical ingredient (API) capabilities.
Few of market participants that have products in the development phase include AbbVie Inc., Celgene Corporation, Bristol‑Myers Squibb Company, Tocagen Inc., Northwest Biotherapeutics, and Diffusion Pharmaceuticals Inc.
Bargaining Power of Suppliers
Currently, the market consists of several players manufacturing novel drugs as well as generic drug producers. However, few existing key companies capture significant share in the market and have the capability of fluctuating the costs of the products. Another factor affecting the bargaining power of suppliers is the switching cost for buyers. Since there are a lot of generic drugs for the treatment of glioblastoma, this gives a moderate level of leverage to the buyers to switch. Furthermore, many companies are focusing on the development of new treatment options, which increases competition in the market. Therefore, the overall bargaining power of suppliers in the global glioblastoma market is moderate.
Bargaining Power of Buyers
The bargaining power of buyers is low to moderate in the global glioblastoma market. Patients are the primary buyers in the market through different distribution channels such as hospitals and retail pharmacies. The presence of buyers in the market is rising due to the increasing prevalence of glioblastoma and brain tumors. Also, some buyers are price-sensitive, which moderately affects their bargaining power in the market. The market is characterized by moderate availabilities of substitute products, which reduces the buying power to an extent.
Threat of New Entrants
The threat of new entrants is moderate in the global glioblastoma market due to the development of the potential market. Any company trying to enter the market has to get the product approved and certified by various regulatory authorities in different countries. The rising awareness regarding glioblastoma and its severity among the patients pushes the currently established and other manufacturers to focus more on its treatment alternatives. There is a stronghold of the big companies in this market, which can make the entry of the new players a bit difficult. Moreover, many key companies in the market have failed clinical trials after reaching phase III. This negatively affects the decision of medium-sized companies to enter into this market as they do not have much capital to invest in the field.
Threat of Substitutes
The threat of substitutes in the global glioblastoma market is moderate. The substitutes in the market constitute the generic versions of drugs available in the market. Although there are a moderate number of substitutes available in the market, the buyer’s propensity to substitute is low as most of the medical professionals prescribe a limited number of drugs for the treatment of glioblastoma. Additionally, quality, trust issues, and excellent service provided by the existing established players restrict the threat by the substitutes.
Intensity of Rivalry
The degree of competition in the global glioblastoma market is moderate to high. The moderate degree of product differentiation among existing players increases the intensity of rivalry in the market. Companies involved in the global glioblastoma market are trying to develop cost-effective products to make product differentiation more affordable. To overcome the competition, players are engaged in developing a process to lower their manufacturing cost. Moreover, the players are also developing advanced techniques for differentiating their product from their rivals.
