Q1 The issue of over pricing AZT is a intense issue for Burroughs Wellcome Company thus causing negative promotional material and the fears in my opinion are well founded as furthest as BWs hereafter AIDS medicates and drugs for other diseases (Zovirax and Sudafed) are concerned.
Within the present-day(prenominal) AZT market, the central consumers are AIDS and HIV patients in need of treatment. AZTs role to the patients is paramount; terminuss show AZT extends patients vivification expectancy, increase their sense of wellness, boost their immune system, and help with charge gain. Clearly the benefits of AZT have a direct force on the patients quality of life; as a result patients desire for the treatment is high. And thats the reason why the negative advancement wont impact the current sales of AZT in the absence seizure of any embossments (at present AZT is the only treatment operational for HIV).
However, when it comes to other 2 products (Zovirax and Sudafed) and any potential AIDS drug that BW might invent / discover in the future the situation is quite different. The backlash would affect the customers emotional response . This would affect how a consumer thinks about a club and smatter to others about it. The negative publicity would diminish BWs reputation with its customers, pave the way for the sale of substitute products by competitors.
The customers would also win over their role from being apostles to detractors thus telling others how bad the company is and why they should not buy BWs products. Thus this could be scourge to the BWs business affecting its brand image.
Based on our five forces analysis, the effort is moderately attractive with the significant threats coming from possible substitute products and rivalry from direct competitors. Assuming that there are telling substitutes (which are either priced equally or...
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