Response paper

Biopure Corporation Hemopure and Oxyglobin should be released to the market at the same time in order to control the price through psychological pricing. As noted in the case, it will be difficult to justify a price increase for the human version of the product because the animal version had been sold for much less. It is important to acknowledge that both drugs had to go through rigorous approval processes in order to meet the expectations and guidelines stipulated by the FDA. The cost of Biopure should be $800 per unit regardless of the lower cost of oxyglobin. The price is justifiable due the value attached to human life. The value of hemopure at $ 800 is justifiable based on the foundations of psychological pricing. It would be morally wrong to price the product like the Oxyglobin. Andy was wrong to consider first revenues to be obtained would greatly facilitate to the launch of Oxyglobin (Harvard Business School 1).
As the president for veterinary Products, Andy Wright had the task of deciding how best the sale and distribution of Oxyglobin was to be conducted. Effective distribution was to be determined by existing distribution practices for products in the veterinary market. The distribution would be local, national or regional. In 1997, the sales team made sales worth $1. 2 billion (Harvard Business School 11). The sales were made to 200 independent distributors, two of which were national in scope (within United States), eighteen were regional (New England) and 180 local distributors (e. g., Metropolitan Boston.). Sales representatives, trade publications and shows were also used to promote sales (Harvard Business School 11). These measures were expected to maximize the sales of Oxyglobin to the market.
Works Cited
Harvard Business School. Biopure Corporation. Harvard Business School, 9 598. 150 (1999): 1-
18. Print