Schering-Plough and Concerns about Vytorin®

Author
Bhagwangar Dhanishtha Kika
Region
North America
Topic
Strategy & General Management
Length
11 pages
Keywords
methods
stakeholders
stakeholder concerns
effective and timely manner
Health
financial ramifications
Student Price
$4.00
Target Audience
Graduate Students
Undergraduate Students

Clinical tests showed cholesterol drug Vytorin® was not living up to the claims of the producers, Schering-Plough and Merck. Consumers could receive a virtually equivalent drug for one-third of the cost. The problem facing Schering-Plough was to find the best methods to reach its stakeholders and ensure them that their concerns will be addressed in a timely and effective manner. This case has health, financial, and legal ramifications for stakeholders. 

Learning Outcomes
  1. To highlight the potential conflict of interests that pharmaceutical companies are faced with relating to the release and marketing of their drugs;
  2. To provide an example of how a company decision to boost sales by undergoing a study trial consisting of patients with extremely rare conditions can lead to unintended results, leading to a negative public perception;
  3. To encourage the analysis of a business strategy based on limited information;
  4. To demonstrate how a company will be held accountable to both the media and the public based on their perceptions of the company’s corporate philosophies;
  5. To encourage discussion concerning the timeliness of releasing study trial data as well as the effectiveness of the current drug approval process.