Napo Pharmaceuticals: Triple Bottom Line of People, Planet, and Profits Case Study Solution
Would you have invested in Napo? Why or why not?
Yes, I will invest in Napo because Napo is in the process of making the new drugs which give cure to many neglected diseases like diarrheal which help in decreasing the mortality rate in adults and children’s, which help to stable the economy death rate. Investment in Napo is sharing only clinical and commercialization risk. Initially Napo would gain approval for its drugs and then establish partnerships in western market. (Loitongbam, 2016). Investments in Napo also makes the excellent business sense in the developing countries and where there is large competition exist i-e developed countries. Investment in Napo help to come out with more skilled peoples which help Napo pharmaceutical to make drugs for the other diseases which are still not cured in the present era like a drug for proper treatment of all types of prevailing cancer in the world. (Kyle, 2012)
Why do you think Napo had so many challenges with its commercial partners?
Napo has so many challenges with its commercial partners Salix and Glenmark pharmaceuticals, after their relation became sour. Napo had to face the challenge of financing for its survival, the challenge creating higher volume businesses in the emerging economies of the world, uncertainty about the future, maintaining company’s reputation and performances, and the changes coming in the technology. (Niosi, 2012). The biggest challenge which Napo had to bear was a profitable market, information barriers, and financing for the new product. Another challenge which Napo has to face is to search for novel approaches in order to create and retain a high value added business innovation model to make new drug discoveries, this seems to be quite difficult for Napo but it creates opportunities in the developing world. (Joanna chataway, 2007)
What do you think Conte should do next?
Conte had to do a lot of hard work because she had the elusive FDA approval for the product but she lack financing, having no commercial manufacturing facility and no appropriate distribution channel now. Conte has to go for a bank loan in order to starts its operations, and then have to market its product itself in the market in order to attract the investors as well as the distributors. Conte has to focus on its strengths and establish a value proposition in order to create benchmark in both the developing and developed countries. (Coster, 2017) Conte should have to work with effective leadership in the future to make sustainable growth.
Conclusion
The Napo Pharmaceutical is a biotech company which pursue a triple bottom line of people, planet and profit, which is preparing lifesaving drugs in order to cure the neglected diseases like infectious diarrhoea etc. The Napo pharmaceutical specifically made a drug named ‘’crofelemer’’ which help to treat patients of diarrhoea which is not caused by an infection from a virus, bacteria or parasite. The Napo had to face different challenges in making the new drug discovery. Three things which hindered the discovery of new life saving drugs are financing, market and information barrier. Napo business model covers both the developing and developed country irrespective of the economic condition. Napo end up with sour relationship with two of its commercial partners Salix and Glenmark and end up with lawsuits. Conte has FDA approval for products but she don’t have any investor to invest in its company as well as no distribution channel is there for her to start her work.
Appendices
Appendix-1: Reasons for Few Biotech Firms
Appendix-2: Napo v/s Typical Biotech Firms
| Napo |
V/s |
Typical biotech firms |
| Covers every country, every population and every distribution channel (developing and developed countries) | Only developed countries
( focuses on venture capital financing) |
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