Biopure Corporation: Strategic Marketing and Product Launch Analysis

This case study examines Biopure Corporation, a biopharmaceutical company specializing in blood substitutes, focusing on its products Hemopure and Oxyglobin. The analysis delves into the market dynamics of human and veterinary blood, highlighting supply limitations, transfusion risks, and the competitive landscape with companies like Northfield Laboratories and Bexter International. The core problem identified is Biopure's challenge in effectively marketing its products amidst increasing competition and deciding between prioritizing short-term gains with Oxyglobin or long-term market establishment with Hemopure. Alternatives considered involve either delaying Oxyglobin's launch to focus on Hemopure or proceeding with Oxyglobin to secure immediate benefits. The recommendation leans towards postponing Oxyglobin to allow Hemopure to establish itself, followed by a strategic launch of Oxyglobin, considering the financial implications and market positioning of each product. This document is available on Desklib, a platform offering a range of study resources including past papers and solved assignments for students.

Running head: MARKETING CASE STUDY ANALYSIS
MARKETING CASE STUDY ANALYSIS
Name of the Student
Name of the University
Author Note

1MARKETING CASE STUDY ANALYSIS
Table of Contents
I. Situation Analysis.......................................................................................................2
II. Problem Definition....................................................................................................4
III. Analysis of the alternatives......................................................................................4
IV. Recommendation.....................................................................................................5
References......................................................................................................................6

2MARKETING CASE STUDY ANALYSIS
I. Situation Analysis
The case study is based on Biopure Corporation which was established in the year
1984 by two entrepreneurs David Judelson and Carl Rausch. The organization had started its
operations in the biopharmaceutical industry and the specializes in the process of purification
of the proteins that are required by humans and for veterinary use as well. Biopure had been
successful in developing its position as one of the three legitimate “blood substitute” based
suppliers. The major purpose of blood substitutes was based on the ways by which the
oxygen carrying based function of blood can be replicated and the issues that are faced due to
transfusion of blood can be reduced as well (Aryee & Boye, 2015).
The major product that has been introduced by Biopure Corporation was named as
Hemopure which was targeted towards the human market. The market based on Human
Blood has been analysed with the help of this case study. The red blood cells or RBCs are
considered to be highly important for the process of blood transfusion in human body. The
process based on human blood transfusion has also been discussed in detail in the case study.
The human blood transfusion process is based on the ways by which blood is injected directly
in the bloodstream of patients (Brunkow et al., 2018).
The demands of human blood and supply is a major part of the discussion that has
been made in the case study. The supply of blood is mainly based on the donations that have
been provided by 8 million people in the years 1995 in the US. The case study has further
provided major information based on the limitations that are related to donation of RBCs.
The risks that are related to the transmission of diseases are a major part of the entire
discussion made in the case study. The process based on autologous transfusions is a
significant part of the discussion that is based on the ways by which the limitations related to
blood transfusion can be reduced in an effective manner (García-Ruiz et al., 2017).

3MARKETING CASE STUDY ANALYSIS
The demands that are related to donation of RBCs is also considered to be a major
part of the discussion that has been made in the provided case study. Transfusions of RBCs
and their importance in the process of human treatments have been discussed in case study.
The pricing of the human blood is based on the process of blood donation and the differences
that exist between the supply of blood and the demands. The treatments that are based on
acute blood loss are discussed in detail in the case study (Green, Allard & Cardigan, 2015).
The blood market related to veterinary treatment is important and RBCs are able to
play a major role in the ways by which oxygen can be transported to the organs and tissues of
animals. The market structure of veterinary blood market is affected by the veterinary
practices that are prevalent in the US. The preventive that is provided to animals is important
for the ways by which the market is developed. Demand for veterinary blood is also quite
high and the acute cases that are related to heavy blood loss can be treated in an effective
manner with the help of proper supply (Gupta, 2015).
The supply of veterinary blood is considered to be a huge constraint is case of
adequate levels of treatments that can be provided to the animals. The donation process in
veterinary blood supply is a major part of the lack of proper supply that can fulfil the
demands that are related to effective treatment. The practices that are based transfusions have
a major impact on the entire process that is related to the proper treatment which can be
provided to the patients. The substitutes that are available for human blood have also been
discussed in the case study in detail. The case study has been able to provide an insight that is
based on the benefits that are provided by different products that act as blood substitutes
(Holson et al., 2015).
The human blood substitutes are based on the strict regulations that are related to the
Food Drug Administration or FDA based department of the US government. The industry

4MARKETING CASE STUDY ANALYSIS
based on the human blood related substitutes is considered to be quite competitive in nature.
The approval that is provided to the organizations based on the ways by which substitutes of
RBCs can be developed in an effective manner. The two major competitors who are a part of
the industry include, Northfield Laboratories and Bexter International. The two organizations
have operated in the same industry for a long period of time and have been able to provide
severe levels of competition to Biopure Corporation (Mackenzie et al., 2015). The two major
products of Biopure Corporation that have been offered in the market mainly include,
Hemopure and Oxyglobin. The process of distribution and marketing of the two products was
a major concern for the management Biopure Corporation.
II. Problem Definition
Major issue that has been faced by Biopure Corporation is based on the levels of
competition that have been faced recently faced in the industry. The increase in levels of
competition have taken place in the last few years and this has further led to the development
of effective distribution based facilities of the company in order to reach the target audience
within less amounts of time (Skrepnek, Thompson & Johnson, 2015). The two major
products that have been developed by the organization are similar to each other and the
management needs to make sure that both of them can stay in the market with the help of
their individual benefits (Sen Gupta, 2017).
III. Analysis of the alternatives
The management of Biopure has been provided with different alternatives that are
based on the ways by which the organization can market its major product named Oxyglobin.
Carl Rausch had been wrestling with the alternatives that are based on the ways by which the
new product can be marketed or the old product can be improved in an effective manner. The
decision was to made related to the ways by which the launch of Oxyglobin related to

5MARKETING CASE STUDY ANALYSIS
increase of short term based benefits (Stump, 2015). On the other hand, an option was based
on the ways by which Hemopure can be established in the market. The ways by which
opportunities provided by launch of Oxyglobin can be used in an effective manner is
considered to be a major alternative that has been provided to the management or CEO of
Biopure Corporation (Toma et al., 2016). The launch of a new product was considered by the
organization in order to provide tough competition to the other organizations in the industry.
The CEO of Biopure Corporation also considered this alternative in order to develop a
competitive advantage in the market.
The CEO of the organization was highly confused on the ways by which the
profitability levels of Biopure Corporation can be increased in an effective manner. The main
question that was faced by the CEO was based on the choice between long term and short
term based benefits that can be taken by the organization. The issue had proved to be quite
sensitive for the CEO as it was related totally to the future operations of the organization and
the ways by which it is able to survive in the industry as well (Zimmerman et al., 2016).
IV. Recommendation
The two major options that have been provided to the CEO are as follows,
The CEO can the postpone the launch of Oxyglobin and further provide
attention to the process of proper establishment of Hemopure.
The second option that has been provided to the CEO is based on the ways by
which the launch of Oxyglobin can help the company to gain huge levels of
short term based benefits in the industry.
The postpone of launch of Oxyglobin can be provided with first rank among the
available options for the management of Biopure Corporation. The main reason behind the
provided option is related to the time which will be required by its another major product

6MARKETING CASE STUDY ANALYSIS
named Hemopure to establish itself in the industry. Oxyglobin can thereby be introduced by
the management after the proper establishment of Hemopure in the industry. The financial
implications or requirements related to this option are quite less as compared to the launch of
an entirely new product.
The immediate launch of Oxyglobin can be provided with second position among the
two major options that are provided to the CEO. The CEO can aim at gaining short term
based benefits by Oxyglobin in the market immediately. Investments that are required for the
launch of Oxyglobin are higher as compared to the first option that has been discussed. The
organization will need to make effective investments in marketing and promotions of the
product in order to launch it in the industry.

7MARKETING CASE STUDY ANALYSIS
References
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manufacture of nutraceuticals and functional food products. Nutraceutical and
functional food processing technology, 1-52.
Brunkow, R., Delucia, D., Haft, S., Hyde, J., Lindsay, J., McEntire, J., ... & Voss, J.
(2018). Cleaning and cleaning validation: a biotechnology perspective. CRC Press,
Taylor & Francis Group.
García-Ruiz, J. M., Galán-Arriola, C., Fernández-Jiménez, R., Aguero, J., Sánchez-González,
J., García-Alvarez, A., ... & Bernal, J. A. (2017). Bloodless reperfusion with the
oxygen carrier HBOC-201 in acute myocardial infarction: a novel platform for
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Gupta, A. S. (2015). Biomaterials-Based Strategies in Blood Substitutes. In Biomaterials in
Regenerative Medicine and the Immune System (pp. 113-137). Springer, Cham.
Holson, J. F., Stump, D. G., Pearce, L. B., Watson, R. E., & DeSesso, J. M. (2015). Absence
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Mackenzie, C. F., Pitman, A. N., Hodgson, R. E., Sussman, M. J., Levien, L. J., Jahr, J. S., &
Greenburg, A. G. (2015). Are hemoglobin-based oxygen carriers being withheld
because of regulatory requirement for equivalence to packed red blood
cells?. American journal of therapeutics, 22(4), e115-e121.

8MARKETING CASE STUDY ANALYSIS
Sen Gupta, A. (2017). Bio‐inspired nanomedicine strategies for artificial blood
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carriers (HBOC) with varying prooxidant and physiological reactivity. PloS
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Zimmerman, D., Dienes, J., Abdulmalik, O., & Elmer, J. J. (2016). Purification of diverse
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