Psoriasis is a chronic autoimmune skin disorder which involves complex interactions between genes, keratinocytes, T-cells and inflammatory cells it is affecting 2-3% population worldwide. Molecular biology and cellular immunology of psoriasis, when linked with biotechnology and genetic studies can help to understand the pathophysiology of psoriasis. T-cells activation, keratinocyte hyperproliferation and angiogenesis are the core mechanisms entailed in the development of psoriasis lesion. Investigators are trying to overcome the challenges of complex pathophysiology pathways involved in this disorder. The different possible hypothesis for its pathophysiology viz., growth factors, enzymes, inflammation and genetic factors mediated pathophysiology has been described in the present review paper in detail. Clinically available drugs only control the symptoms of the psoriasis but are not effective the cure the disorder completely and are also associated with some side effects such as itching, renal disorders, hematologic, nonmelanoma skin cancer, pulmonary, gastro-intestinal toxicity etc. This paper made an effort to understand the pathophysiological targets, discuss research done so far and the treatments available for the efffective management of psoriasis.