Scaling Up: European Pharma Companies Strategies for Success in the US Market

As European pharmaceutical companies look to expand into the US market, it is crucial for them to develop and scale their business models to navigate the ever-changing landscape. This was a key topic of discussion at HLTH Europe, held in Amsterdam, Netherlands, from 16 to 19 June.

With potential pharmaceutical tariffs on the horizon, European companies must be prepared to face the challenges of the US market. John Scannapieco, partner at Womble Bond Dickinson LLP, emphasized the importance of being ready to scale up. "The problem is that a company's solution is often not fully developed or scalable," he said. "You need to have something that is developed and then something that can be scaled up quickly."

However, simply having a scalable solution is not enough. European companies must also have a compelling pitch to interest US investors. James Douglas, US advisory partner at Frazier & Deeter Advisory, added that "you have to be able to tell the story quickly. Being able to come in and have that 32-second elevator pitch that tells them the problem and how you're solving it is what they care about."

Rajarshi Banerjee, CEO of Perspectum, an imaging company with a US presence, agreed that having a scalable model is key for success in the US market. "If someone likes what you have and it scales, it will work - if you have the right science that translates very easily," he explained. Banerjee also emphasized the importance of understanding the specific needs of potential partners in different regions. "For example, mobile MRI scanners can go to hyper rural areas, so you can negotiate with Arizona. But they don’t care about that in Manhattan because they will say: ‘We don’t need this’. Manhattan has a high density of MRI scanners, so you have to contextualize," he added.

In conclusion, European pharma companies need to develop and scale their business models in order to succeed in the US market. This includes having a well-developed and scalable solution, a compelling pitch for US investors, and a deep understanding of the specific needs of potential partners in different regions. The information provided in this article is for general informational purposes only and should not be relied upon as professional or specialist advice. Always seek professional or specialist advice before taking any action based on the content on this site.