Cephalon Learns That Risk Returns
Executive SummaryA risk-reduction strategy has brought Cephalon success, but now brings it face to face with a new set of risks that add up to a real management dilemma. The company is waiting to hear whether FDA will approve an expanded label for Provigil, a treatment for narcolepsy. A yes could position the product for marketing to GPs. The trouble is that four big generic companies are taking aim at Provigil. Should Cephalon spend on a big sales force, or seek a co-promotion deal that, given the situation, is bound to have tough terms? This much is clear: no one escapes risk.
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