Most Attractive Pharma R&D Location in Europe

August 7, 2012 www.global-arena.com 1

Executive Summary
Location matter to business. Framework conditions, including market, talent and
infrastructure factors affect business decisions when it comes to R&D center site selection.
Recent reports and the PwC Global CEO Survey 2012 show that in particular talent related
aspects are becoming more and more critical.

Despite a skilled labour force, high quality of life and a state of the art research Infrastructure
Europe is hit hard by restructure plans closing or relocating pharmaceutical R&D centers in
favour of US or Asian locations. As part of its Go-global solutions Global-Arena.com’s
interactive analysis to the most attractive locations for pharmaceutical R&D centers location in
Europe unveils the comparative advantages of 19 European economies:

•  The United Kingdom, France and Germany offer the most attractive business environments
for pharma R&D centers in Europe
•  The UK in particular offers an attractive environment, with above average scores on all
location factors
•  Smaller EU countries such as Switzerland, Denmark, The Netherlands and Sweden rank
high on speciﬁc aspects


Global Consolidation, Restructuring and
Global Competition for Talent
•  Fierce global competition the pharmaceutical industry causes industry
consolidation, rethink R&D strategy and reconsider global footprint
•  Rising disposable income and health insurance schemes offer expansion
opportunities in Asia
•  Lack of skilled labour causes global competition for talent
•  When it comes to relation or expansion a 360-degree real-time view and
performance monitoring of the market, business environment and local
and global talent supply, including comparisons of tax systems is needed


Overall Attractiveness Ranking of European
Countries for Pharmaceutical R&D
UK
98%

France
94%

Germany
94%

Switzerland
75%

Spain
65%

Netherlands
60%

Italy
59%

Sweden
57%

Denmark
54%

Belgium
54%

Austria
50%

Finland
38%

Ireland
32%

Czech
Republic
30%

Norway
30%

Portugal
18%

Hungary
12%

Estonia
7%

Latvia
4%

0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%


Key Findings
UK

Switzerland

•  The United Kingdom, France and Germany Sweden

Spain

offer the most attractive business Portugal

environments for pharma R&D centers in Norway

Netherlands

Europe. All three show competitive conditions Latvia

in terms of market, talent and accessibility Italy

Ireland

factors
Hungary

Germany

•  The UK in particular offers an attractive France

environment, with above average scores on Finland

Estonia

all location factors
Denmark

Czech
Republic

•  Besides the biggest populated EU countries, Belgium

Switzerland rank high due to its opportunities Austria

for collaboration with universities
Compe22on
and
Mass

Tax
Incen2ves

Industry-‐University
Interac2on

•  Smaller EU countries such as Denmark, Talent
Supply

World
Class
Knowledge

The Netherlands and Sweden rank high on Qualitz
of
Life

Interna2onal
Connec2vity

speciﬁc aspects
Quality
of
ICT

Infrastructure
Capabili2es


Ranking Component: Competition and Mass

Data Series Used
France
98%

UK
96%

• Company information on locations
Germany
95%

of European R&D centers of listed Italy
84%

pharmaceuticals in the Forbes 200 Switzerland
79%

Pharmaceuticals
Spain
71%

• EU Cluster Oberservatory data on Netherlands
44%

cluster size (number of companies)
Belgium
44%

Hungary
41%

Ireland
34%

Denmark
31%

Austria
27%

Analysis Czech
Republic
24%

• France, the UK and Germany offer of all Sweden
23%

included European countries the most Estonia
21%

attractive environment when it comes to a Portugal
20%

dynamic business environment. These Finland
19%

countries are host to the most Norway
18%

multinational pharmaceutical R&D centers Latvia
18%

and have the biggest pharma clusters.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

• Compared to the bigger EU countries,
Switzerland ranks also signiﬁcantly high
on these aspects


Ranking Component: Tax Incentives

Data Series Used
France
100%

Czech
Republic
78%

• OECD data on:
Belgium
76%

• Direct government funding of Sweden
73%

business R&D projects
Austria
70%

• Indirect government support Spain
66%

Ireland
64%

through R&D tax incentives
UK
62%

Norway
54%

Denmark
49%

Netherlands
42%

Hungary
37%

Analysis
Portugal
32%

Germany
28%

• When it comes to providing a ﬁnancial
Finland
22%

supportive environment for business R&D
Estonia
22%

projects, France ranks on top in Europe. The
Latvia
13%

government offers a direct support of 15%
Switzerland
10%

tax reduction, combined with an indirect tax
Italy
10%

incentive of 23% for R&D projects
• Latvia, Switzerland and Italy are the least 0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

attractive in government support and
incentives for R&D


Ranking Component: Industry-University Interaction

Data Series Used
Switzerland
91%

Finland
89%

• INSEAD and WIPO Global
UK
88%

Innovation Index item on industry- Sweden
86%

university research collaboration
Denmark
79%

Germany
74%

Belgium
74%

Netherlands
72%

Ireland
61%

Austria
58%

Norway
55%

Analysis
Czech
Republic
35%

• Of the countries included Switzerland Portugal
34%

offers the most attractive R&D Hungary
28%

environment in terms of opportunities for Estonia
21%

the industry to collaborate with France
15%

universities
Spain
13%

•  Finland, the UK and Sweden follow
Italy
3%

Latvia
3%

0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

August 7, 2012
www.global-arena.com 8

Ranking Component: Talent Supply

Data Series Used
UK
99%

Italy
97%

• Eurostat data on number of PhD’s
Germany
92%

in Life Sciences
France
84%

Spain
80%

Ireland
34%

Portugal
34%

Austria
34%

Analysis
Czech
Republic
34%

• A sustainable talent supply is becoming Sweden
33%

more and more a critical success factor Belgium
32%

for companies. The biggest populated EU Switzerland
30%

countries such as the UK, Italy and Netherlands
27%

Germany offer the most attractive Finland
27%

environment since they host the largest Hungary
27%

domestic stocks of highly skilled labour in Denmark
26%

Norway
26%

life sciences
Estonia
24%

• However, talent is mobile and countries
Latvia
23%

like Switzerland, with a relative low
domestic supply, attract many EU talent 0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

with its high quality of life and signiﬁcantly
higher salaries


Ranking Component: World Class Knowledge

Data Series Used
UK
99%

Germany
98%

• QS World University Ranking for
France
89%

Pharmacy and Pharmacology data Italy
82%

on:
Switzerland
64%

• Number of listed universities in Spain
59%

top 200
Belgium
51%

Austria
39%

• Total score on academic
Ireland
39%

ranking
Finland
38%

Sweden
35%

Denmark
34%

Netherlands
33%

Czech
Republic
24%

Analysis
Portugal
19%

• The UK and Germany rank on top on Norway
19%

proximity to world class knowledge Latvia
19%

institutes in Pharmacy and Pharmacology
Hungary
19%

• The UK is host to 25 listed universities in Estonia
19%

this area, with Cambridge, Oxford and
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

Imperial College scoring top 10 position in
the global ranking


Ranking Component: Quality of Life

Data Series Used
Germany
92%

Italy
91%

• Lonely Planet data on number of restaurants,
France
89%

shops and activities
• UNESCO data on number of natural and Austria
77%

cultural heritage sites
Switzerland
77%

• Yale University Environmental Performance Sweden
76%

Index
Spain
76%

• WHO data on number of homicides
UK
75%

• Numbeo data on cost of housing and local Czech
Republic
49%

purchase power
Netherlands
49%

Norway
42%

Denmark
40%

Analysis
Finland
35%

• Countries such as Germany, Italy and Ireland
34%

France offer the most most attractive Portugal
25%

talent environment with regards to the Hungary
21%

quality of life. These countries offer a Belgium
14%

favourable environment in terms of Latvia
8%

Estonia
1%

entertainment, healthy environment,
security and cost of living
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

• Austria, Switzerland, Sweden, Spain and
the UK follow


Ranking Component: International Connectivity

Data Series Used Germany
96%

France
95%

• Flight Connectivity Index data on UK
94%

number of international flights
Netherlands
83%

Italy
83%

Belgium
68%

Spain
67%

Switzerland
58%

Austria
53%

Denmark
35%

Portugal
29%

Analysis
Czech
Republic
29%

• Germany, France and the UK rank on top Hungary
26%

in terms of international air connectivity. Sweden
24%

Finland
19%

For international frequent flyers these
Norway
18%

countries offer the most international
Latvia
14%

flights in Europe
Ireland
14%

• Compared to the biggest EU countries, Estonia
9%

The Netherlands ranks high on this
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

aspect too


Ranking Component: Quality of ICT"

Data Series Used
Denmark
94%

Switzerland
93%

• World Economic Forum Global
UK
93%

Information Technology Report items on:
Norway
85%

• Mobile network coverage rate
Netherlands
79%

• Secure internet providers
Sweden
77%

• International internet bandwith
Finland
63%

Belgium
60%

Estonia
50%

Germany
43%

Ireland
35%

Spain
34%

Analysis
Italy
33%

Austria
31%

•  Denmark, Switzerland, and the UK
Czech
Republic
30%

scores highest on aspects of quality of
France
26%

ICT
Hungary
7%

• Of all included EU countries Portugal
7%

The Netherlands offers the most attractive Latvia
5%

business environment when it comes to
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

international internet bandwith


Ranking Component: Infrastructure Capabilities

Data Series Used
France
92%

Germany
92%

• World Economic Forum Global
Switzerland
86%

Competitiveness Report items on
UK
83%

Infrastructure:
Spain
81%

• Roads
Netherlands
76%

• Railroads
Denmark
70%

• Airport
Finland
64%

• Available airline seat kilometers
Austria
60%

Sweden
59%

Belgium
59%

Portugal
46%

Ireland
25%

Analysis
Czech
Republic
25%

•  With regards to the infrastructure Norway
17%

capabilities countries such as France, Italy
14%

Germany, Switzerland, the UK and Spain Latvia
8%

offer the most attractive business Estonia
7%

environment: these countries all offer a Hungary
4%

state of the art road, rail and air 0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%

infrastructure allowing people to travel
easy


Have a look yourself
Looking for the most
attractive location
with the most competitive
R&D business
environment?

Click here to visit the
interactive analysis and to
adjust the sliders and to
learn more about our
Go-global Enterprise
Location Planning services


Appendices
•  About Global-Arena.com
•  Data sources


Global-Arena.com
Global-Arena.com is the leading secure online matching platform that brings together companies,
investors and business locations worldwide. Global-Arena.com offers innovative digital services and
gives them a data advantage to save cost and time. With it’s Go-global solutions
Enterprise Location Planning and Economic Development Planning Global-Arena.com is able to
provide companies and governments an integrated 360-degree view and comparative advantages
analysis of the market, business environment and talent supply by:
•  Analysing and comparing the attractiveness of business locations in support of its clients growth
strategies
•  Searching and analysing growth, expansion and relocation opportunities worldwide
•  Visualising scenarios of business and policy impacts based on real time economic statistics, trends
and forecasts

To learn more about how Global-Arena.com can support your site selection or location promotion
processes, visit our website www.global-arena.com or contact:

Peter Storm CEO
info@global-arena.com
www.global-arena.com


Our Approach: From Long to Short List


Data Sources used per Location Factor
Market
Factors
Sources
Talent
Factors
Sources
Accessibility
Sources

Factors

Compe22on
and
Mass
Company
website
Talent
Supply
Eurostat
data
on
number
of
Interna2onal
Connec2vity
Flight
Connec2vity
Index
data

informa2on
on
biotech
R&D
PhD’s
in
Life
Sciences
on
number
of
interna2onal

sites
of
the
listed
ﬂights

Pharmaceu2cals
in
the

Forbes
500
Biggest

Companies

EU
Cluster
Observatory
data

on
the
number
of

pharmaceu2cal
enterprises

Tax
Incen2ves
OECD
data
on:
World
Class
Knowledge
QS
World
University
Ranking
Quality
of
ICT
World
Economic
Forum

• Direct
government
funding
for
Pharmacy
and
Global
Informa2on

of
business
R&D
projects
Pharmacology
data
on:
Technology
Report
items
on:

• Indirect
government
• Number
of
listed
• 
Mobile
network
coverage

support
through
R&D
tax
universi2es
• 
secure
internet
providers

incen2ves
• Academic
score

• 
interna2onal
internet

bandwith

Industry-‐University
INSEAD
and
WIPO
Global
Quality
of
Life
Lonely
Planet
data
on:
Infrastructure
Capabili2es
World
Economic
Forum

Interac2on
Innova2on
Index,
item
on
• Number
of
restaurants
Global
Compe22veness

industry-‐university
research
• Number
of
shops
Report
2011-‐2012
items
on

collabora2on
• Number
of
ac2vi2es
infrastructure
quality:

UNESCO
data
on
cultural
and
• 
Roads

natural
heritage
sites
• 
Railroads

Yale
University
• 
Airports

Environmental
Performance
• 
Available
airline
seat

Index
kilometers

WHO
data
on
number
of

homicides

Numbeo
data
on
costs
of

housing
and
local
purchase

power


Most Attractive Pharma R&D Location in Europe

Empfohlen

Empfohlen

Weitere ähnliche Inhalte

Mehr von Global-Arena.com AG

Mehr von Global-Arena.com AG (6)

Kürzlich hochgeladen

Kürzlich hochgeladen (20)

Most Attractive Pharma R&D Location in Europe