In the recent times, many of the pharmacy companies have been facing a number of challenges. This may pose a serious threat to the pharmaceutical innovation and it also increases the litigation cost required for the commercially successful drugs. Another importance of obtaining patents is that the pharmacy companies can further do the extension of the patent terms for those drugs which are commercially successful. This is done by obtaining the patents of the new formulations through ease in use and the reduction in dosage. With the help of the same, the drug can be superior to the previous drugs. This also leads to an advantage for the branded companies and help them to compete the competitors. In addition, by increasing the patents, the companies can also increase the commercial life of the products maximizes the revenues. The pharmacy company also needs to invest a lot on the research. As a result of the same, there is a lack of marketing and promotion for the new drugs.
If the drugs will not be getting the patents, they will have to invest a huge amount on the marketing as well. In the recent past, the pharmacy companies have to face a large number of issues including the lack of efficacy and the opposition from other pharmacy companies. Another benefit of patenting of drugs is that it ensures that there is less competition in the market. If the patent is not done, there may be a possibility that the companies may launch impoverished product at lower costs which have a negative impact on the patients. The patents help in encouraging innovation and help the pharmacy companies to invest more and more in research. By having the proper patents, the companies can boon their research and development. They can also have a better production of drugs without any worries related to the market competition.