Gogunners
I agree.
PS may not be able to guarantee us what price Fonda will be pitched at or what share of the market DR will take, but can tell us is whether the cost to manufacture Fonda is likely to be lower than GSK - this will then tell us a lot about how successful DR is likely to be.
As mentioned earlier, it is possible Alchemia has actually underestimated the potential of the market share (I guess they are always going to be conservative) that Fonda was likely to grab and so we find GSK in a situation where they are going to be forced to compete against themselves with their own completely 100% generic.
We know cost of production in India should be cheaper to start off with, so PS, please now ASAP confirm for the market that ACL's improved process for manufacture of
Fonda adds yet another cost advantage to DR.
Price Elasticity of Demand is what it is all about now - DR pitching Fonda at the optimal price to grab the best sales versus return. With the expected lower costs of production advantage, DR will hopefully be able to control their (and Alchemia's) destiny.
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GogunnersI agree.PS may not be able to guarantee us what price...
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