That the pharmaceutical sector is the one that shows the highest developing rate is a stated fact. Every day it appears on newspapers news about mergers or take-overs involving pharmaceutical houses world level.  
This continuous race to mergers and to get big dimensions make the classification of players changes all the time times as if there were a perfect equation between dimensions and profitability. 
Indeed if it is true that in the pharmaceutical field research investments are such that they cannot be supported by 'small' enterprises it is true the same that it is possible to localize market niches allowing achieving very good results even if the enterprises are not present among the top ten. 
Indeed it does not lack cases of companies that by specializing themselves in certain fields have succeeded in becoming world leaders in these areas.  
A remarkable example is surely that of the Ares-Serono Group, whose Chief Executive Officer, Ernesto Bertarelli, has underlined the purpose to increase as an independent and innovative company. 
The company, established by Prof. Cesare Serono in 1906, in fact is by now the world leader in its traditional specialization field, that is the cure for infertility - (a problem affecting a couple out of six in reproductive age) - where it is present since the fifties when it started-off the first to trade the gonadotropin extracted from the urine of women in menopause - in the biotechnology field, in drugs for multiple sclerosis treatment, and those for development and metabolism disturbs.  
This Group, having seats in 45 countries and trading its products in more than 100 countries, represents a very good example of tradition and innovation successful combining.  
Even if having the leadership in its own sectors, the company has sensed in the eighties the need to replace the natural active principles in those therapeutic fields with drugs produced by employing the new technologies coming from the genetic engineering.  
Thanks to an intensive research activity the company has succeeded in achieving recombinant active principles identical to the substances present in the human body (hence reacting in an analogue way to natural proteins), able to govern and rule complex biochemical processes and whose possibilities to employ are several, not limiting to a sole therapeutic sector.  
The first recombinant DNA product to be achieved has been the grow hormone (Saizen(r)) whose trade started-off in the first years of the nineties; very important targets have furthermore been achieved in the immunology field, with the beta recombinant interferon- the (Rebif(r)) and in the reproductive medicine, where only the Serono can count the whole range of gonadotropins from genetic engineering.  
On the other hand the importance the Serono gives to biotechnologies has been openly highlighted by Ernesto Bertarelli that in the preliminary report to the 1998 balance has declared:  “We are entering an era when the biotechnology will change our life, and the Ares-Serono is placed in such a way to take a leadership position.”  
The target the company aims to is surely important, that is to change radically patients' treatments thanks to the advances biotechnologies put on disposal  and so to become a world leader in biotechnologies.To achieve this purpose the company has decided to go on investing in R&D the 20% of the sales.  
On the other hand research has always been the key to the success of the company and it is carried out in 9 investigation centres, two of them in Italy, at Ivrea and Ardea (the main technological platform of the Group for the new products entire development activities). 
Notwithstanding the Serono moved its seat at Geneva at the middle of the seventies Italy goes on keeping a strategic role inside the group. By 209 billions of sales out of more than 1500 billions lire whole sales, our country represents the second market world level.  
Furthermore and in dimensions term, Italy, present with the partners Serono Pharma, Industria Farmaceutica Serono, Istituto di Ricerca Cesare Serono and Holding Istituto FarmacologicoSerono, follows next the main house. 
To further prove the strategic role played by our country inside the company it must be underlined that by the means of three processing lines, two research centres and a very important trade net, the Italian branch represents a whole cycle strategic platform (Research& Development, Production, Patent & Trade), the Group entrusts the most for the middle time development processes. 
The plant of Modugno (Bari) is for example the main plant of the Ares-Serono world level for the biotechnological finished products.  
Modugno covers indeed more than 60% of the fill and finish activities of the Ares-Serono and more than the 70% products are destined to world markets.  
Another pride of the Serono in Italy is the plant of Guidonia Montecelio, approved by the United State Food & Drug Administration, the sole plant world level that has developed a complete know-how about extractive and production technologies for semi- manufactured products from urine. 
As announced in advance and still as regards to the research Italy plays an important role, thanks to the Cesare Serono Research Institute of Ardea (Rome). The IRCS, working since 1984, employs nearly 130 dependants and it's the main technological platform of the Group world level for the medicines developing activities. The Centre deals with the setting-up of manufacturing processes, analytic methods, formulas, innovative administration methods and products validation.  
Still regarding the research in Italy it must be highlighted the precious collaborations the IRCS has carried on with the main Italian Universities, and the participation of the Institute- by the means of a centre devoted to develop new systems for drugs administration- to the technological Park of the Canavese, started off in Ivrea in September 1998.  
Still in our country the Ares-Serono is the main shareholder of the Antoine Marxer Research Institute of Ivrea (RBM), the first independent Contract Research Organization in Italy, that established in 1969 and is acknowledged world level as an excellent centre for the toxicological studies, pre-clinic and clinic development. 
Thanks to this intensive research activity in 1998, the company has achieved important results in developing products for chronicle diseases as the multiple sclerosis and made forward paces in innovative projects for the infertility treatment. 
Also the data analysis highlights the importance of Italy inside the Ares-Serono Group.  
In 1998 the R&D expenditures reached 51 billions, equal to 15% of the world whole. Meaningful also data about employment: the Italian partners employ in fact 750 people in all, almost the 20% of the Group's personnel. 
On the other side Roberto Gradnik, the new Managing Director of the Serono Pharma, has clearly stated which are the targets for the 2000, that is: “to keep the leadership in the infertility sector, to grow in  the therapeutical  field of the multiple sclerosis with the beta recombinant-1a. Its new dosage of 44  mcg is the only one having an impact over patients affected by relapsing remitting  multiple sclerosis and showing an edss score over 3.5 “. Gradnik has further underlined that the engagement of the company institutional level for the valorisation of biotechnological medicines and the great concerns of the health and pharmaceutical policy. 
Targets that are surely ambitious but within the capacity of a company that over almost a century has succeeded in finding in itself the ability to combine tradition and innovation. 

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