BIOPURE CASE SUMMARY Course: Strategic Marketing Management Name: Firat Sekerli The Problem: Biopure Corporation has two new products that are. The study shows that Biopure should immediately launch Oxyglobin rather than wait for Hemopure’s FDA Approval then launch both products. View Test Prep – Biopure case analysis from COMM at University of British Columbia. Biopurecaseanalysis SizingthemarketforHemopure Analysis Launch.

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Biopure Case | Case Study Template

The limitation is from FDA approval process. Household Pet Ownership, — as a percentage of total U.

Enter the email address you signed up with and we’ll email you a reset link. Hence, the financial status must be strong to support research and development and do the advertisement to introduce the products to the customers. Major attributes of the Oxyglobin include two-year durability, no potential contamination, flexibility in applying to all blood type, and consistency of usage. This was due to the two main reasons as follows: The Oxyglobin blood substitute is a newly innovated product, which just had been approved by the FDA.

Once Oxyglobin achieves its purpose for animals and satisfies the veterinary doctors and pet owners, the success of this product will help Biopure to easily launch Hemopure and attract the human market. Because the blood substitute is the standard product that have to be concurrent with FDA conditions and cannot be differentiated, so the company can sell this item to every customer at the same quality with the same price. Without having a real and wide use in animal, labs product cannot be proved of its effectiveness.

Then we should target each sub-segment with different distribution channels in order to maximize profit. Hence, the demand in animal blood transfusion is still high.

Biopure Corp.

Carl Rausch, the president and CEO of Biopure Corporation, has to decide if the release of Oxyglobin would be beneficial for the company without jeopardizing the potential of Hemopure.


With continuous improvement according to the situation, Biopure not only will bkopure marketing spending more efficiently, but also will perform more effectively. As we are the only player in the animal blood substitute industry, or Blue Ocean, we can set the price as high as we desire because of no competition in price.

The firm has to persuade hospitals and practices to use blood substitute instead of blood stusy which will be the hardest step since customers may resist to a huge shudy. In this case, the actual donor animals are pets.

Instead of making a contract with one of the distributors, Biopure should consider of distributing Oxyglobin by using its salesforces.

Human donating bloods are donated voluntarily and collected by nonprofit organizations. According to market surveys Table A: Would you like to get such a paper? Remember me on this computer. Which distribution channel the firm will use also play a significant role in determining the firm success in introducing new products to market. The process for this approval may spend more than 3 years. Sgudy approach would help firm to save 30 percent of distribution cost charged by distributors.

The buyers must consider the qualities as their priority. Biopure Corporation has two new products that are Oxyglobin and Hemopure. The company must communicate effectively, educate veterinarians and possibly promote the use of the product.

Business case Biopure by Simone Huygens on Prezi

At odds are those in charge of Oxyglobin, who want to see the animal product released immediately, and those in charge of the Hemopure, who worry that an immediate biipure of Oxyglobin would create an unrealistically low price expectation for what they feel should be a very high-margin human product.

Although, sellers charge the very high price, the patients still need bloods for their treatment. The high demand of blood transfusion creates opportunities and higher chance of success for the Oxyglobin. So suppliers cannot charge the extra cost to the sellers because they can switch to buy from the other suppliers. The company should target big buyers like distributors as well as veterinarians.


Uncertainty of market acceptance of blood stduy as they confront deeply rooted blood transfusion treatment, which is proved to be very effective. We will plan to overcome the high price issue of the products by: This blood substitution protein is extracted from bovine source and chemically modified to eliminate the infectious agents, purified, and stabilized to be applicable to other animals. Thus, if any one supplier attempts to raise prices by more than the costs of switching, firms will change the supplier.

I believe that this is a big opportunity for Biopure to enter the veterinary market because Oxyglobin has already passed an FDA — approval process specific to the veterinary market.

Currently under phase 3. Hemopure is very similar to Oxyglobin, therefore, a drawback of Oxyglobin will directly affect the price of Hemopure and it will definitely increase possibility of product failure.

So if prices are set too high, a lot of customers will not be interested in trying blood substitute. Create awareness — That Oxyglobin is not only approved by the FDA, but also more effective than the regular currently available donor blood.

Biopure Case

Our recommendation is at least dollars per unit, because the company cannot effort any lower price, in order to recoup the investment cost eg. This task is easier for certain classes of new products than for others. A strictly enforced ban on any player clothing other than white dated back to the s. Though, donor blood is a close substitute for Oxyglobin, the products themselves is different. Log In Sign Up. Getting acceptance from leading veterinary schools, like the Harvard veterinary school, can create trust and confidence for the final consumer, as well as speed up product acceptance.