Predict for the profitability of pharmaceuticals product

Assignment Help Business Economics
Reference no: EM131097175

Market approval in the US for new pharmaceutical products in a long, arduous, and expensive process. Once approved, patent protection keeps substitute products from entering for some years.

a. if the demand for a particular product is stable, what would you predict for profitability after approval and prior to patent expiration? Why?

b. what would you predict for the profitability of pharmaceuticals product after the patent expires? Why?

Reference no: EM131097175

Questions Cloud

In nation balance of payments : In a nation's balance of payments, which one of the following items is always recorded as a positive entry?
Money demand and money supply curves shift leftward : If the money demand and money supply curves shift leftward, we can conclude that the equilibrium:
Described by the supply and demand functions : The market for a pack of 12 golf balls has been described by the following supply and demand functions: Depict this on your demand and supply diagram. (Hint: the new tax inclusive demand function will be: P = 91 – 5Q) What is the new market equilibri..
Use the two-sample t-test for comparing two population means : The owner of a test prep company was interested in whether students who took the company’s face to face test prep class did better on the GRE than students who followed the test prep company’s live online program. In which situation could the test pr..
Predict for the profitability of pharmaceuticals product : Market approval in the US for new pharmaceutical products in a long, arduous, and expensive process. Once approved, patent protection keeps substitute products from entering for some years. if the demand for a particular product is stable, what would..
Constitution the concept of checks and balances : Our forefathers incorporated into the Constitution the concept of checks and balances. Explain its strengths and weaknesses of such a system, especially in a democracy form of government.
Monopolist faces market demand curve : A monopolist faces a market demand curve given by: Q = 70 – P. This monopolist perfectly price discriminates among its customers. If the monopolist can produce at constant average and marginal costs of AC = MC = 6, the monopolist’s profits are equal ..
Unit cost of gasoline in dollars per litre in real terms : A new technological line of gasoline production has the following parameters: Expected annual inflation is 5%. If current interest rate is 10%, what is the unit cost of gasoline in dollars per litre in real terms?
Cost effectiveness frontier-downward-sloping line : What impact does insurance (or having more beneficial insurance) have on a Cost effectiveness Frontier? On a Cost Effectiveness Frontier graph, Treatment M is above Treatment N so connecting treatment M to treatment N is a downward-sloping line. What..

Reviews

Write a Review

Business Economics Questions & Answers

  What is marginal rate of substitution at the bundle

Marcus’s utility function is U(X, Y) = (X + 2) (Y + 1). a. Write an equation for the indifference curve that goes through the point (2, 8). Graph the indifference curve for U=36 c. Let Px=Py=1 and m=11. Draw Marcus’s budget constraint in the graph fr..

  Discuss how dummy variables could be applied.

Select an economic problem or theory and discuss how dummy variables could be applied. Determine the value that dummy variables would add to your analysis (think outside the box on this one – avoid obvious examples like gender, race, etc.).

  Channel margins based on retail price for prescription drugs

The R&D and development costs for the new drug were $1.2B. Variable costs are estimated at $25 per pill and allocated fixed costs are estimated to be $8 million per year. For pricing let’s assume that the average channel margins based on retail price..

  You are a manager in a perfectly competitive market the

you are a manager in a perfectly competitive market. the price in your market is 45. your total cost curve is cq 10

  Explain how the fed use of its three tools of monetary

Explain how the Fed's use of its three tools of monetary policy affect supply and demand in the market for reserves and the equilibrium federal funds interest rate.

  Data to estimate price elasticity of demand for subway rides

The New York Times reported (Feb. 17, 1996) that subway ridership declined after a fare increase: “There were nearly four million fewer riders in December 1995, the first full month after the price of a token increased 25 cents to $1.50, than in the ..

  Pay for bond rate

How much do you have to pay for a bond rate that pays 6% dividend compounded semi annually, with a face value of $5,000 that is going to be paid (maturity) in 5 years. The buyer wants to have an interest rate profit of 8% compounded semi annually.

  What is the value of the covariance

What is the value of the covariance between the initial investment W0 and the investment value at the end of the month W1? Are those variables independent? Compute E[W1], Var(W1) and sd(W1).

  Jet blue corporation continuously offers fare

Jet Blue Corporation continuously offers fare discounts to attract customers awareness about the company, increase market share and increase revenues on the routes in the USA market.

  How can you use the concept of elasticity to explain this

What do you think about a tax on soda and junk food just like there is "sin" tax on cigarettes and alcohol? Do you think this would work to deter parents and children from consuming so much soda and junk food? How can you use the concept of Elasti..

  Q each day matt eats lunch at school he likes only twinkies

q. each day matt eats lunch at school. he likes only twinkies t and soda s and these provide him a utility of utility

  General equilibrium-contract curve for initial allocation

Bert has an initial endowment of 10 units of food and 10 units of clothing. Ernie’s initial endowment consists of 10 units of food and 20 units of clothing. Represent these initial endowments in an Edge worth Box. Describe the set of allocations that..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd