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The realm of biotechnology is a fast-growing, dynamic industry with a distinctive
competitive environment. A research paper written for the Amity Institute of Biotechnology in
India gives a concise overview of the industry: “Biotechnology is a life science-based technique
especially used in agriculture, medicine and food sciences. It is generally defined as the
manipulation in organisms to generate products for the welfare of the world. Biotechnology
combines disciplines such as genetics, biochemistry, microbiology, and cell biology along with
information technology, chemical engineering, robotics etc. It includes basic industries such as
food processing, tissue culture, plant development and other sophisticated ones such as
recombinant therapeutics and diagnostics. Biotechnology, globally recognized as a rapidly
emerging and far-reaching technology, is aptly described as the ‘technology of hope’ for its
promise of food, health and environmental sustainability (Abhishek 1).” While the industry
provides great benefits for the welfare of the many, the benefits are not unlimited and indefinite.
The industry is subject to trends spanning specific time periods, often due to market activity and
scientific technological breakthroughs. An article written in the Genetic Engineering &
Biotechnology News journal states what is currently hot in the biotech industry: “Mario Elhers,
M.D., Ph.D., CMO at Pacific Biometrics (www.pacbio.com), weighed in with several
observations. What’s in he says, are pharmacogenomics, biomarkers, companion diagnostics,
blockbuster protein drugs, theranostics, fully humanized mono-clonal antibodies, RNAi, protein
therapeutics, and structure-guided drug design. What’s out: antisense, gene therapy, ex vivo cell
therapies, cancer vaccines, high throughput screening against non-validated drug targets
(DePalma 2).”
While a major facet of the biotechnology industry is scientific-based, it is still mostly
ruled by the economics of business. An article written in the Journal for Business Chemistry
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states, “Biotechnology, regardless of red, green or white biotechnology, promises high profits.
However, the field is also complex, fast moving and costly. Especially in the field of medical
applications there are many risks associated with biotechnology (Picker par. 2).” In addition to
the necessity of rapidly adapting to new changes within the field, success is also dependent on
healthy market circumstances. The article continues, “There is always a difference in doing
business and doing science. And second, taking into account the enormous amounts of
publications in the field of biotechnology each year, it is obvious that it is very difficult to keep
up with the fast moving technology on the one hand and the market developments on the other.
In an extreme case, e.g. nutraceuticals, you have both the fast moving biotechnology and the fast
moving food market (Picker, par. 4).” The biotech industry does have promising foresight in
regards to employment for individuals, as well as the possibility of profitability for startup
companies. An article written by the Office for Biotechnology at Iowa State University states,
“The competition for jobs is getting tougher - Although biotechnology employment is still on the
upswing, there are forces at work that put more people than ever into the market at this time.
Whether it be layoffs from the mid-sized biotech companies who have had problems with their
clinical results, or the downsizing pharmaceutical companies, there is much competition out
there (Jensen par. 15).” The article also points out a critical and defining aspect of the industry—
the increasing number of successful startups competing in niche sectors of the field. The article
continues, “Startup companies will represent an increasing percentage of new biotech hires This sector of biotechnology, represented by very young companies (often with no more than
eight or ten employees) will gain in importance in the job search. Since fewer large companies
are the "stable" employers they once were, more job seekers will be open to the possibilities of
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positions with companies who are in the early stages of growing a business in some niche of the
life sciences (Jensen par. 19).”
Taking into account a global perspective of the opportunities and threats of the industry,
the field undoubtedly has a large impact on the well-being of hundreds of nations with regards to
both health and finance. A recent journal written by the Stimson Center, whose mission is taking
pragmatic steps for global security, discusses the colossal impact the biotechnology field has on
a global stage. The journal states, “The benefits of biotechnology have brought unprecedented
advances in global development. But a formidable challenge of globalization is governments'
inability to effectively monitor and regulate these emerging technologies--and the increasing
commitment and wherewithal of non-state actors to use these advances for hostile purposes
(Grossman-Vermaas 7).” These statements provide insight on another key factor of the
industry—the current deregulation of the workings of biotech companies. This has a significant
effect on the opportunity portion of the SWOT analysis, preventing companies from being bound
by laws and regulations that may hamper their ability to make profits.
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References
Abhishek, K. (2007, May 4). Indian Biotech Bazaar: A swot analysis. Wiley Online Library.
Retrieved March 15, 2012, from
http://onlinelibrary.wiley.com/doi/10.1002/biot.200700025/pdf
DePalma, A. (2005). Twenty-Five Years of Biotech Trends. Genetic Engineering News, 25(14).
Retrieved March 15, 2012, from http://www.genengnews.com/gen-articles/twenty-fiveyears-of-biotech-trends/1005/
Grossman-Vermaas, R., Finlay, B., & Turpen, E. (n.d.). Old Plagues, New Threats: The Biotech
Revolution and its Impact on US National Security. The Stimson Center. Retrieved
March 15, 2012, from http://www.stimson.org/books-reports/old-plagues-new-threatsthe-biotech-revolution-and-its-impact-on-us-national-security/
Jensen, D. (n.d.). Employment Trends in Biotechnology. Office of Biotechnology: Iowa State
University . Retrieved March 15, 2012, from
http://www.biotech.iastate.edu/topics_of_interest/hiring.html
Picker, S., & Garcia, B. (n.d.). Trends in Biotechnology - Opportunities and Threats for
Developing Countries!?. Journal of Business Chemistry. Retrieved March 15, 2012,
from http://www.businesschemistry.org/article/?article=80