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A Pharmaceutical Company Spent a Significant Amount of Money Developing

Question 247

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A pharmaceutical company spent a significant amount of money developing a new drug to combat high blood pressure. The drug did not cause any of the typical side effects usually associated with blood pressure medications. It was forecasted to be a "blockbuster" medication that would achieve over $1 billion in sales. It would also be difficult for other firms to duplicate, at least in the short-run, because of patent protection and the substantial research and development costs required. The introduction of this new drug would best be described as:


A) Diversification.
B) Market development.
C) A breakthrough opportunity.
D) "Hit-or-miss" marketing.
E) Market penetration.

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