This is the potential usage in 1995. In order to project the numbers forward to 2000 (the date of product release), we must estimate population growth. The elderly population (65 and older), which currently receives 40% of all acute blood loss transfusions, is expected to double by 2030. Assuming linear growth, we can expect this age group to grow 14% by 2000. Similarly, the remaining adult population (under 65), which currently receives 60% of all acute blood loss transfusions, is expected to grow 5.9% by 2030 ((6 – 5.67) / 5.67 = 5.9%).
Bayer Consumer Care, a division of Bayer HealthCare, is headquartered in Morristown, New Jersey, USA. With 2005 sales of €2,355 million, Bayer Consumer Care is among the largest over-the-counter (OTC) healthcare products companies in the world. The division was created in 1994, following the acquisition of the North American OTC drug business of Sterling Winthrop, which expanded the Company's product portfolio. The acquisition returned to Bayer the North American rights to Bayer Aspirin®, as well as the rights to the Bayer name and trademark in North America. It also led to the company's U.S. name change in April 1995 from Miles Inc. to Bayer.
GSK’s prime activities include creation, discovery, development, manufacture, and marketing pharmaceutical and consumer health-related products the world over. GSK operates largely in two segments, Pharmaceuticals and Consumer Healthcare. GSK has more than 36,000 SKU’s manufactured across over 80 manufacturing plants worldwide. GSK has a market share of seven percent in the pharmaceutical business. Year Merger/Acquisition New Company Name 1989 Beecham merged with SmithKline Beckman SmithKline Beecham 1995 Glaxo acquires Burroughs Wellcome & Co. Glaxo Wellcome 2000 Glaxo Wellcome merged with SmithKline Beecham GlaxoSmithKline 2001 GlaxoSmithKline acquires consumer health care company Block Drug Co. GlaxoSmithKline Exhibit 1: Merger and Acquisition activity at GSK The Challenges Post merger Integration Issues With the spate of mergers and acquisitions, GSK faces three major integration challenges: * Integrating the separate identities * Integrating different strategies and * Integrating the packaging and manufacturing operations of Glaxo, Burroughs Wellcome, Beecham, SmithKline Beckman and Block Drug Co. Complex product portfolio Market dynamics and short life expectancy of patients have tilted the demand in favour of specialised drugs.
Du Pont De Nemours was founded in 1805 and was incorporated in Wilmington Delaware in 1915. The company first produced high-grade powder used in explosives. However, by the early 1900’s, the company shifted their focus to chemicals and energy to meet escalating needs by consumers and businesses. Today, DuPont is a world leader in science and innovation across a range of disciplines, including agriculture and industrial biotechnology, chemistry, biology, materials science and manufacturing. As of December 2010, according to the annual 10-K, DuPont employs over 60,000 people, amassed revenue of 322.7 billion with profits of just over 3 billion.
In 2001, Zappos more than quadrupled their yearly sales, bringing in $8.6 million. In 2002, they opened their own fulfillment center in Kentucky. In 2003, Zappos reached $70 million in growth. In 2004, Zappos did $184 million in gross sales. Over the next three years, Zappos doubled their annual revenues, hitting $840 million in gross sales by 2007.
The tax rate is 40 percent. a. what is the initial investment outlay? b. The company spent and expensed $50,000 on research related to the project last year. Would this change your answer?
Introduction CVS Pharmacy is the second largest pharmacy chain in the United States with over 7,000 stores in 41 states and $86 billion in revenue (Prior, 2008). As the retail pharmacy division of CVS Caremark, it sells prescription drugs and a wide assortment of general merchandise, including over-the-counter drugs, beauty products and cosmetics, film and photo finishing services, seasonal merchandise, greeting cards and convenience foods through their CVS Pharmacy and Longs Drugs retail stores and online through CVS.com. For more than 10 years, CVS tried to entice high end beauty makers to offer their products in their stores and was shirked. These upper tier cosmetic giants balked at the idea of offering their products in a drugstore setting. Wanting to gain entrance into the high end beauty market, CVS set out to create a new retail environment to compete with these suppliers.
c. Internal common equity where the current market price of the common stock is $43.50. The expected dividend this coming year should be $3.25, increasing thereafter at a 7% annual growth rate. The corporation’s tax rate is 34%. d. A preferred stock paying a 10% dividend on a $125 par value. If a new issue is offered, flotation costs will be 12% of the current price of $150.
This is faster than average. (“Healthcare Administration” pg. 3) Now the demand for healthcare administrators is increasing, in the year 2010 there were 303,000 jobs. In the next five years the job is to increase by 88,000. (Bureau of Labor Statistics) The job market for healthcare administration has a good future ahead of it, with its increasing demand and high salary.
Offer 2: 30% of buyer’s interest gross profit on the product for next 4 years. The buyer, Zbays gross profit margin was 60%. Sales in year one projected to be $12 million and expected to grow 40% per year Offer 3: A trust fund will be set up for next 8 years. At the end of period, Dr Wolf would receive the proceeds (and discount them back to present at 10%) The trust fund called for semi-annual payments for next 8 years of $200,000 (a total $400,000 per year) Annual interest rate for the three options is 10% or 5% semi-annually. Determine a.