Others, such as ADIRO®, are microencapsulated and feature sustained release of the active ingredient over time, ensuring bioavailability and mucosa protection. In fact, of the 80 million aspirin tablets Americans take each day, most are taken not for everyday aches and pains but to reduce the risk of heart disease, according to aspirin manufacturer Bayer Corporation. Based on studies showing aspirins usefulness in treating cardiovascular disease, including heart attack and stroke, the Food and Drug Administration has approved its use to treat some of these serious conditions.
Most recently, FDA finalized a rule to give doctors updated information about the use of aspirin for men and women who have had a heart attack or stroke or are at high risk for them. American Cancer Society also confirmed that Aspirin is indeed effective in preventing colon cancer. According to one estimate, Aspirin inhibits cell mutation, a theory that paves the way for future research and the promise of new developments. Research is also being conducted into Aspirins effects on Alzheimers Disease and diabetes.
The evolution of the pharmaceutical market and the broadening uses of Aspirin is mostly advantages because of the availability and the cost-effectiveness of the product. Maximizing and optimizing the potentials of Aspirin would not only mean additional profits for Bayer, but also it could save money for poor people who could barely afford expensive drugs. Its potential as a preventive drug also is a vital discovery because the American FDA proposed Aspirin as the drug of choice in suspected cases of acute heart attack, which is the worlds number one killer disease.
If Aspirin is used the way it should be, the information about all its potentials should save a lot of lives and it should reduce adverse reactions and allow doctors to better target those who need to use the product. 6. ) Use the five forces model to analyse the markets of aspirin. Which one you think is the most appealing and why? Michael Porters five forces model is a useful tool for industry and competitive analysis.
It holds that an industrys profit potential is largely determined by the intensity of the competitive rivalry within that industry, and that rivalry, in turn, is explained in terms of five forces: the threat of new entrants, buyer power (the bargaining power of customers), the bargaining power of suppliers, the threat of substitute products or services, and the rivalry among existing competitors. A. Buyer power In the Five Forces Model, buyer power will be favorable when buyers have many choices of whom to buy from and low when their choices are few.
To reduce buyer power and create a competitive advantage, an organization must make it more attractive for customers to buy from them than from their competition. In the case of Aspirin as a brand, it had segmented to cater the specific needs of the people. Bayer CardioASPIRIN®, are designed for persons with sensitive stomachs and are coated for enteric digestion. The tablet of aspirin is encased by a high-tech outer layer that allows the tablet to be digested and absorbed in the intestines rather than in the stomach.
Others, such as ADIRO®, are microencapsulated and feature sustained release of the active ingredient over time, ensuring bioavailability and mucosa protection. Of course, Childrens ASPIRIN is for kids and could be prescribed to their middle-aged patients as a means of prevention. Among the Five Forces, I think this is the most appealing because it prioritises the customers preferences above all. B. Supplier power In the Five Forces Model, supplier power is high when buyers have few choices of whom to buy from and low when their choices are many.
Supplier power is the opposite of buyer power: A supplier organization in a market will want buyer power to be low. A supply chain consists of all parties involved, directly or indirectly, in the procurement of a product or raw material. Thus, the manufacturers of acetylene and salicylic acid, which are the raw materials in formulating acetylene, comprise the supplier power of Aspirin. C. Threat of substitute products or services In the Five Forces Model, Threat for Substitutes is high when there are many alternatives to a product or service and low when there are few alternatives from which to choose.
Ideally, an organization would like to be in a market in which there are few substitutes for the products or services it offers. Obviously, Aspirin faces competition against Tylenol, Ibuprofen and other analgesics. D. Threat of new entrants In the Five Forces Model, the threat of new entrants is high when it is easy for new competitors to enter a market and low when there are significant entry barriers to entering a market.
An entry barrier is a product or service feature that customers have come to expect from organizations in a particular industry and must be offered by an entering organization to compete and survive. For example, natural drugs and alternative medical procedures which are getting popular these days spell significantly in the sales of all medicines, like Aspirin. E. Rivalry among existing competitors In the Five Forces Model. , rivalry among existing competitors is high when competition is fierce in a market and low when competition is more complacent.
Although competition is always more intense in some industries than in others, the overall trend is toward increased competition in just about every industry. As pain reliever, Aspirin battles for attention with some over-the-counter pain relievers, including Aleve (naproxyn sodium), Orudis KT and Actron (ketoprofen), Advil Liquigels (solubilized ibuprofen), and Tylenol Extended Release (acetaminophen). 7. ) How seriously should Bayer take the findings that relate Childrens Aspirin to Reyes Syndrome (RS)?