How a profit from selling the drug

Assignment Help Business Economics

Reference no: EM1319125

Q. You are the manager of a small pharmaceutical company to receive a patent on a latest drug three years ago. Despite strong sales ($125 million last year) also a low marginal cost of producing the product ($0.25 per pill), your company has yet to Elucidate how a profit from selling the drug. This is, in part, due to the fact to the company spent $1.2 billion developing the drug also obtaining FDA approval. An economist has estimated to, at the present price of $1.25 per pill the own price elasticity of Demand for the drug is -2.5. Based on this information Illustrate what can you do to boost profits? Also Elucidate how all calculations done.

Reference no: EM1319125

Questions Cloud

Scatter diagram and coefficient linear correlation : Draw a scatter diagram of the following bivariate data.

Hypotheses for a right-tailed test : State the hypotheses for a right-tailed test.

Finding standard error of mean : Random sample of 64 services is selected. Assume the population consists of 400 services. Find out the standard error of mean.

How many days do they require to sample : The state highway department is studying traffic patterns on one of the busiest highways in the state. As part of the study, the department needs to estimate the average number of vehicles that pass an intersection each day. A random sample of 64 ..

How a profit from selling the drug : Elucidate how a profit from selling the drug. This is, in part, due to the fact to the company spent $1.2 billion developing the drug also obtaining FDA approval.

Sell of corporate bonds : Cathy purchased several corporate bonds from a large corporation five years ago. Cathy recently lost her job and has decided to sell the corporate bonds.

Discover the sample size to estimate population mean : A company is interested in estimating μ, mean number of days of sick leave taken by its employees. The firm's statistician randomly selects 100 personnel files and notes the number of sick days taken by each employee.

Preparing mixed integer programming model : Prepare a mixed integer programming model for this problem.

Overseas producers can sell in the domestic market : If overseas producers can sell in the domestic market Illustrate what is the equilibrium price. Illustrate what is the equilibrium quantity.

User Account

All Pages