The industry’s focus is on living organisms, and the rigorously enforced standards make it an unique consideration for business executives. These features make the industry an ideal environment for innovation. They have resulted in major breakthroughs the production of biofuels and agricultural yields and life-saving pharmaceuticals.

Start-up biotech companies have many options when it comes down to revenue generation strategies, with the majority choosing either a technology partnering or an out-licensing and asset creation strategy. Technology partnering offers faster revenue with lower financial risk while out-licensing and asset creation strategy generates significantly greater returns if it’s successful. A growing number of biotechs in the research stage operate a hybrid www.genotec-frankfurt.de/comparing-biotechnologically-engineered-nutritious-supplements/ model which combines both strategies.

The people who select a product-focused approach can be successful commercially in the event that they manage to get their pipelines up to the right place, and then find a major pharmaceutical partner or an investor with a large sum of money. This can be an expensive venture. It is important to consider the balance between opportunistic strategies in leveraging outside assets and the right scientific decisions regarding domestic projects.

The «platform» model is a second alternative to generate revenue. It’s a lower-cost method than the development-oriented model however it carries significant risks. In this model the biotech owns and develops its platform technology prior to partnering with big pharma companies to create a portfolio of drug discovery projects that target specific diseases (i.e. disease x within biology y). This is the model Advinus Therapeutics and a few others have taken.