Research and development , cost

The partition coefficient and aqueous solubility are properties important for the study of the adsorption, distribution, metabolism, excretion, and toxicity (ADME-Tox) of drugs. The prediction of the ADME-Tox properties of drug candidates has recently attracted much interest because these properties account for the failure of about 60 % of all drug candidates in the clinical phases. The prediction of these properties in an early phase of the drug development process could therefore lead to significant savings in research and development costs. 

However, Lynn and Howland included in the fixed-capital cost not only money invested in production and storage facilities but also that invested in land, research and development costs, and any auxiliary facihties necessaiy to support the process. Typical values of capit ratios for the year 1958 are listed in Table 9-49. 

All research and development costs incurred during startup... 

However, the very complex mechanisms of action of these drugs and the pressure on the industry to diminish research and development costs require rapid advancements in the knowledge of the pharmaco- and physicochemical interactions of organic compounds with... 

U.S. Government funds were used to defray research and development costs. The aerospace plane is another opportunity for companies to develop new materials with Government support. However, military support for advanced-performance materials development is rapidly decreasing, both in appropriate test beds and in manufacturing support such as the U.S. Defense Department s Mantech program. 

The R.O.I. analysis fails to take into account any startup expenses or to consider how long it will take the plant to reach full capacity. It ignores the fact that research and development costs, marketing expenses, and engineering expenses, are all made at different points of time. It considers only the mature plant. 

DiMasi JA et al. Research and development costs for new drugs by therapeutic category a study of the US pharmaceutical industry. Pharmacoeconomics 1995 7 152-169. 

These indications lead to detailed investigations of the processes, e.g., from a financial perspective this might be revenue, contribution margin and earnings before interests, taxes, depreciation and amortization (EBITDA) of certain product groups and customers, cost analysis for specific processes, overall equipment efficiency or research and development costs. 

The patent system is an essential foundation of the biotechnology industry Through patent protection, those spending extraordinary amounts of money on research and development are able to recoup costs and earn appropriate returns for shareholders by benefiting from limited periods of exclusivity over their discoveries. The importance of this protection becomes obvious as one considers that the average research and development costs for a single new drug has traditionally been estimated at 500 million (Robbins-Roth,... 

This type of constructive impact of TSCA was viewed somewhat differently by Exxon Chemical Company s C.W. Umland. His review of nearly three years of premanufacturing notification cited evidence which suggests substantial disruption of new chemical development and introduction to the market. This disruption was traced to higher research and development costs at an economically vulnerable point in the life cycle of innovative products. A more appropriate balance between opportunity for economic viability and protection from unreasonable... 

Pharmaceutical pipeline portfolios, however, have industry-specific nuances, which present some significant challenges. Traditional financial portfolio analysis often fails to address these subtle distinctions, while pharmaceutical domain experts often lack the financial portfolio background required to adapt those approaches to pipeline issues. The mismatch results in decision analysis on the basis of a suboptimal set of evaluation tools. This type of inadequate anal5dic methodology has huge financial implications in the pharmaceutical world, where yearly research and development costs are now over 50 billion globally. ... 

DiMasi JA Rising research and development costs for new drugs in a cost containment environment. J Health Econ 2003 22 151. [PMID 12606142]... 

Critics dispute the figures presented by drug companies on research and development costs. The drug companies keep their records private, so it is... 

In a liberalized regime, an important consideration is how to finance innovation and technological change in order to secure an efficient diffusion of new technology and in order to increase dynamic efficiency. One solution to the problem, adopted in the Norwegian context, is a requirement that shippers shall pay a fixed percentage of the tariff to help cover for research and development costs. 

The pharmaceutical industry is one of the most important parts of the chemical industry and is a major consumer of the products of the petrochemical industry. It is a high-profit industry but with very high research and development costs. For example, it costs in excess of 100 million to discover, test and get a single drug on to the market. 

The plant supervisor/manager has no control over fixed operating costs, whereas he/she is held accountable for the variable costs. In addition to those costs incurred due to the construction of the plant and/or its operation, each plant, site or product is usually required to contribute towards the general operating expenses of the company. These expenses include general overheads, research and development costs, sales expenses, etc. Each company decides how these costs are apportioned, however as a general indication they may add 20-30% to the direct production costs at site. 

Many researchers and engineers see smart materials as the next great breakthrough in materials science. They are expected to have a host of applications in products ranging from military weaponry and aircraft to better performing sports materials. Since research and development costs are, and probably will continue to be, high, the first applications of smart materials are likely to he in areas where cost is less of a factor, such as military and space uses. Within a decade or two, however, many experts expect to see smart materials become part of a host of devices used by consumers in their everyday lives. 

The production of baculoviruses is technically and economically feasible in living host organisms, at the commercial plant level or as a modest "cottage industry." The cost of commercial production of some viral insecticides is still relatively high, but a Baculovlrus production venture could become financially attractive if appropriate government agencies would share research and development costs with the industry. 

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