Takes Go/No-go decision for Oxyglobin or for Hemopure
- Clearly identifies target segment(s)
- Positioning which matches target
- Proposed marketing mix
- Price
- Channel/ Sales Force
- Basis for Recommendation
As we have learnt in class, market selection is based on three criteria:
1) Opportunity – market potential for each market
2) Fit – strategic considerations (such as production capacity)
3) Competitive analysis (specifically for the human market)
Then,
Comparison of pros and cons of your marketing decisions: price, target, channel.
Just a few pointers so you can work on the Biopure case at ease.
First of all, your recommendation should be:
whether Biopure should enter the Animal or the Human market and how to do it.
Your basis for recommendation should be based on:
- Strategic and qualitative (SWOT-based) assessments of the opportunity (both opportunities).
- Market sizing of revenue potential (also of both markets).
In order to do number 2, remember that you have to figure out:
- How many people (or animals) will be using the product.
- How much (how many units) of it they will use.
At this point you have units. Now, since both markets have very different average prices, it is better if you transform units into dollars by multiplying by average price (now you have revenue potential).
Then have into consideration if the revenue potential will be all for Biopure or whether they may have to share it with competing companies.
