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2018 19 Darden Case Book-68-70

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North-South Pharma Co.
A.T. Kearney | Round 1 | Healthcare
68
0 3 | C A S E : NOR T H- S O UT H P HA R MA C O
NORT H-S OUT H P HARM A CO
A.T. Kearney | Round 1 | Healthcare
Prompt:
North-South Pharma Co is a US-based pharmaceutical manufacturer. The
company owns a plant in the United States that is active in serving US
customers through pharmacies, and also owns an idle plant in South America.
1. Market Size: Forecast Revenue for North-South Pharma Co
2. What should North-South Pharma Co do with its idle South American facility
.
Encourage the student to size the market, making assumptions as necessary.
B E H AV I O R A L
INT E R VIE W
QUE S T ION:
1 . Ple a s e te ll m e
a b o u t a tim e th a t
you ha d to
d e liv e r d iffic u lt
n e ws in a
p ro fe s s io n a l
e n v iro n m e n t.
UVA Darden School of Business 2018-19 Casebook
69
0 3 | NORT H-S OUT H P HARM A C O
Market Sizing Guidance:
• 300M people in US x 10% visiting doctor = 30M people getting prescriptions
• 30M prescriptions x 20 refills/yr. = 600M prescriptions/yr
• 600M prescriptions x $0.50/prescription = $300M
• North-South Pharma Co 5% market capture = $15M revenue opportunity
UVA Darden School of Business 2018-19 Casebook
70
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