Abstract

One-Click Download | Share | Email | Add to Briefcase

Risk Analysis for Merck and Company: Product Kl-798

Samuel E. Bodily
University of Virginia (UVA) - Darden Graduate School of Business Administration

Darden Case No. UVA-QA-0600

Abstract:
This case builds on the case "Merck & Company: Product KL-798" (UVA-QA-0582) by providing market uncertainties for the drug (drug quality, the presence of a competitor, market growth, and the time to the drug's release). Details and spreadsheets are provided for the calculation of net present values for the scenarios. There is an additional challenge of how to treat the several downstream decisions (using OptQuest, for example) and how to value the license opportunity.

Keywords: operations, decision analysis, Monte Carlo simulation

Working Paper Series

Date posted: October 21, 2008 ; Last revised: October 21, 2008

Suggested Citation

Bodily, Samuel E., Risk Analysis for Merck and Company: Product Kl-798. Darden Case No. UVA-QA-0600. Available at SSRN: http://ssrn.com/abstract=1284191

Export to: Export Citation What's this?

Contact Information

Samuel E. Bodily (Contact Author)

University of Virginia (UVA) - Darden Graduate School of Business Administration ( email )

P.O. Box 6550
Charlottesville, VA 22906-6550
United States
434-924-4813 (Phone)
434-293-7677 (Fax)

HOME PAGE: http://www.darden.virginia.edu/faculty/bodily.htm