1

Oxyglobin vs. Hemopure
Oxyglobin threats to Hemopure:
 Pricing deferential
 Negative public perception of injecting “dog blood”
 Perception of Oxyglobin and Hemopure as
essentially the same product.

How Oxyglobin is an asset to Hemopure:
 Revenue to asset production
 Provides test run for production/sales/distribution
 Growing pains experienced in less visible market
2
Market Strategy
 Biopure should release Oxyglobin now at
$200/unit to Vets
 We set the price for Oxyglobin at the high side because
of the release of Hemopure in 2 years after FDA
approval.
 Hemopure at $500/unit to hospitals
 justify the markup because production for Hemopure
runs at half the capacity of Oxyglobin.
 The profits from Oxyglobin should be put towards
increasing production capacity
 when Hemopure is released, we do not have to ramp
down on the production of Oxyglobin when both
products are on the market.
3
Brining Oxyglobin to Market
Should the Oxyglobin release be done now?
 Yes:
 Revenue for asset production
 Provides test run for production/sales/distribution
 Growing pains experienced in less visible market
 Market diversification when Hemopure is released
 Hedges against Hemopure delays/failure
 Oxyglobin Price:
 $200 to Vets (~$400 to consumers). Reasons:
 60% of vets willing to use in critical cases (Target Market)
 65% of dog owners willing to use in critical cases (Target Market)
 Vet’s may accept less than 100% mark-up ($50 is typical markup)
 Decrease difference between Oxyglobin and Hemopure price.
4
Alternative Market Strategy 1
Don’t Release Hemopure at all

 Pluses
 If sufficiently penetrated, the demand for Oxyglobin will
consume the majority of the production capacity. We
will maximize revenue earlier.
 Minuses
 Not releasing Hemopure would be disregarding a
proven market.
 Hemopure has the potential to revolutionize critical care
situations, not releasing Hemopure would be holding
back a helpful product from the people.
 Not releasing Hemopure would potentially forfeit a
bountiful gain in goodwill.
5
Alternative Market Strategy 2
Release Oxyglobin with Hemopure

 Pluses
 We would be able to sell both products for a
very high price and make a more profit per unit
on both products. Minuses
 Minuses
 Biopure would not be making any revenue to
increase production capacity.
 We do not want to have another two years of
zero revenue.
 Although we would be making more profit per
unit, we would not have as many units to sell.