The global pemphigus vulgaris market is profitable, both for existing players as well as new entrants. A substantial level of rivalry is observed among existing manufacturers/developers in the market. Our analysis revealed that market players have adopted different strategies and innovative research & development techniques to expand their business and secure their position in the global pemphigus vulgaris market. In recent years, strategic movements by major players included product development and acquisition which have been used as market penetration strategies and a means to reduce competition.
The growth of market vendors is dependent on market conditions and industry development. Thus, vendors should focus on geographical expansion and product improvement. It has also been predicted that improvement of the global economic scenario, combined with efforts to enhance infrastructure, can fuel market growth, making it an ideal time to launch new products and increase the market presence.
Vendors with better technical and financial resources could develop innovative products. Therefore, vendors must develop new technologies to stay abreast of emerging technologies that could affect the continuing competitiveness of their product lines in the market.
There are numerous players operating in this market all over the globe. The market is highly consolidated with the presence of a small number of small and big players in the market. Most of these players have a strong presence in the American and European regions. The major players in the global pemphigus vulgaris market are argenx SE, F. Hoffmann-La Roche Ltd, and Pfizer Inc.
F. Hoffmann-La Roche Ltd is a renown Swiss company in the developing pemphigus vulgaris drugs. The company offers Rituxan in the pemphigus vulgaris market. The company focused on organic growth strategy to maintain its leading position in the pemphigus vulgaris market. Recently, in June 2018, the Genentech’s, a subsidiary of Roche received FDA approval for Rituxan (Rituximab) in the treatment for moderate to severe pemphigus vulgaris.
Pfizer Inc.is a US based pharmaceutical company and is engaged in developing innovative drugs in the field of healthcare. The firm offers Medrol, Cortef, and Ruxience in the treatment of pemphigus vulgaris. High customer satisfaction level, exceptional performance in new markets, and strong brand portfolio add to the company’s competitive advantage within the global pemphigus vulgaris market.
argenx SE is a Netherlands based company well known for developing a pipeline of differentiated antibody-based therapies for the treatment of autoimmune diseases and cancer. The company engaged in development of Efgartigimod in the treatment of pemphigus vulgaris. The firm focused on organic growth strategies to maintain its position in the global market. Recently, in March 2018, the firm announced the expansion of its pipeline with the addition of complement-targeted ARGX-117 for the treatment of severe autoimmune diseases.
Bargaining Power of Suppliers argaining power of suppliers in the pemphigus vulgaris market is medium. In global pemphigus vulgaris industry, suppliers are raw materials manufacturers and, intermediate original equipment manufacturers (OEMs). There is a high number of suppliers in the global pemphigus vulgaris market thus leading to a moderate amount of bargaining power in the market. Switching cost of these suppliers is also medium as the suppliers tend to enter into long-term associations with the manufacturers.
Bargaining Power of Buyers
The bargaining power of buyers is low to medium in the pemphigus vulgaris market. Patients are the major buyers for the market. The presence of buyers in the market is high due to the increasing prevalence of autoimmune diseases and the growing burden of immunological diseases. In addition, buyers are price sensitive, which moderately affects their bargaining power in the market. There is a presence of a high number of antibacterial drug manufacturers in the world, which provides products at a low cost. Additionally, switching cost is moderate for buyers as many alternative treatments are available at an effective cost.
Threat of New Entrants
The threat of new entrants is medium to high in the pemphigus vulgaris market. Any company manufacturing the drug for pemphigus vulgaris which is trying to enter the market is required to abide by mandatory regulatory standards. The pemphigus vulgaris drug manufacturing market is also characterized by a high degree of brand loyalty where establishing a brand name is difficult for newcomers. However, government support and presence of huge opportunities in the market has encouraged many players to invest in this lucrative market. These factors are responsible for reducing the barrier for entrance on new companies which can be a major threat for the current companies.
Threat of Substitutes
The threat of substitutes in the global pemphigus vulgaris market is Medium. Substitutes are the different types of generic and other drugs, which completely dependent on the efficacy and the cost of the drug. Buyer propensity to substitute is low as most of the medical professionals prescribe a limited number of drugs.
Intensity of Rivalry
The degree of competition in the pemphigus vulgaris market is medium. The moderate degree of product differentiation among existing players increases the intensity of rivalry in the market. Pemphigus vulgaris drug manufacturing companies are trying to develop less expensive drugs to make treatment more affordable in the developing region. Moreover, brand loyalty moderately affects the market as buyers are more inclined towards established manufacturers. To overcome the competition, players are focusing on the development of new products to withstand the increasing competition. Moreover, the players are also developing advanced techniques for differentiating their product from their rivals.
