BIOPURE CORP.

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INTRODUCTION
In the case of Biopure, the issue is to decide whether to launch Oxyglobin and how to launch it without jeopardizing the potential of Hemopure. Oxyglobin is a substitute to animal blood while Hemopure is a substitute to human blood. The CEO need to identify the influence of the launch of Oxyglobin bring to Hemopure. If the company is launching Oxyglobin, the CEO need to decide the price, identify the target client, choose distributing method and consider the production capacity. The CEO need to take actions to minimize the negative effect and maximize the positive effect of launching. RECOMMENDATION

The company should launch Oxyglobin as soon as possible. The price should be $150. The company should focus on 10% to 15% veterinary practice which are surgery or trauma cases. For distributing, the company should choose manufacturer direct and build up its own training team. BASIS OF RECOMMENDATION

Biopure should launch Oxyglobin for the following reasons. 1) Oxyglobin was the first new “blood substitutes” for the veterinary market, and other companies would take 2 to 5 years to bring an animal blood substitutes product to market, which will help Biopure to dominate the market. 2) Biopure had spent over $200 million in the development of Oxyglobin and Hemopure and in the construction of a state-of-the-art manufacturing facility. Oxyglobin would generate the instant revenues that Biopure could use to launch Hemopure. 3) The launch can fill the scarcity of animal blood supply, which will help Biopure to maximize the market share in the veterinary market, and then the proven success with Oxyglobin might have a greater impact on an IPO than the promise of success with Hemopure. 4) The launch of Oxyglobin will also help Biopure to gather experience for the future launch of Hemopure.

The next step is to decide the price of Oxyglobin. The price of Oxyglobin should be $150 per unit to veterinarian for the following reasons. 1) According to data in the...
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