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Emerging Business Models in the Pharmaceutical Industries ...

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1%<br />

2%<br />

2%<br />

2%<br />

3%<br />

23%<br />

4%<br />

5%<br />

Aventis Revenues by Geography<br />

(<strong>in</strong> Percentage)<br />

6%<br />

13%<br />

Source: Company’s Annual Reports<br />

39%<br />

USA<br />

France<br />

Germany<br />

Japan<br />

Italy<br />

UK<br />

Canada<br />

Spa<strong>in</strong><br />

Mexico<br />

Brazil<br />

O<strong>the</strong>r countries<br />

Aventis<br />

Strategic Direction<br />

The core strategy of Aventis is to create value by rapidly<br />

develop<strong>in</strong>g, launch<strong>in</strong>g and market<strong>in</strong>g <strong>in</strong>novative pharmaceuticals<br />

that satisfy unmet medical needs <strong>in</strong> large patient populations.<br />

Aventis is aggressively deploy<strong>in</strong>g a targeted <strong>in</strong>-licens<strong>in</strong>g and<br />

alliance strategy to supplement organic growth and enhance its<br />

R&D efforts with high value and late stage products. The<br />

company is also try<strong>in</strong>g to focus on maximis<strong>in</strong>g <strong>the</strong> value of<br />

exist<strong>in</strong>g and recently launched global brands through commercial<br />

<strong>in</strong>vestments.<br />

Aventis has more than 300 collaborations <strong>in</strong> pre-cl<strong>in</strong>ical<br />

research, development and technology projects with academic<br />

and scientific <strong>in</strong>stitutions, biotechnology and o<strong>the</strong>r<br />

pharmaceutical companies. The company is also pursu<strong>in</strong>g<br />

targeted acquisitions <strong>in</strong> strategic areas to fill technological gaps.<br />

In July 2003, Aventis and ImmunoGen signed a collaboration<br />

agreement to discover, develop, and commercialise novel<br />

antibody-based anti-cancer products. In <strong>the</strong> field of genomics <strong>the</strong><br />

company has partnered with Procode for cardiovascular<br />

functional genomics and with Incyte <strong>Pharmaceutical</strong>s, Ingenuity<br />

and Celera for genomic <strong>in</strong>formation.<br />

It has a research collaboration on oncology targets with Avalon<br />

<strong>Pharmaceutical</strong>s of Maryland, U.S., and a global agreement<br />

(exclud<strong>in</strong>g Japan) under which <strong>the</strong> companies will jo<strong>in</strong>tly develop<br />

and commercialise Vascular Endo<strong>the</strong>lial Growth Factor (VEGF)<br />

Trap, Regeneron lead anti-angiogenesis compound.<br />

Strategic Analysis of <strong>the</strong> Pharma Market, Future Revenue <strong>Models</strong> and Key Players 65

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