The decision to invest in pharmaceutical (pharma) or biotech
stocks is a confusing one unless you have a keen knowledge of
the basic operations and products of the company and how its
securities trade on the market.  Pharmaceutical companies range
from large to small, and they engage in a full array of
activities from research and development (R&D) to manufacturing
and marketing medicines. The compounds pharmaceutical companies
manufacture are small molecules based on chemical or plant
synthesis.  Conversely, biotech companies, except for a few, are
generally small enterprises that engage solely in R&D of
medicines. These companies use biotechnology to recreate the
function of cells; they use microorganisms and enzymes to
develop large-molecule drugs that are used for a specific
purpose. Because biotechs mimic cellular processes, the length
of time from research and development is extremely long,
averaging 10-15 years.  The R&D process for both involves many
clinical testing trials that yield specific data. T