Salix Pharmaceuticals
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Product Life Cycle
Boston Consulting Group
CELIZAL - Star
CELIZAL is the drug that Salix will produce to treat Celiac disease. CELIZAL is a star because it has high potential for growth with a high market share, but is very costly to produce. CELIZAL will have a high potential for growth because there is currently no other drug on the market to treat celiac. In order to produce CELIZAL, Salix will need to go through years of expensive research and higher lawyers to get a patent. CELIZAL might eventually become a cash cow.COLAZAL - Cash Cow
COLAZAL is a drug that is used to treat ulcerative colitis. It is of very high quality and is very popular among patients with the condition. It costs very little to maintain because Salix already has the patent. However, once Salix loses the market exclusivity for COLAZAL, it may turn into a dog because it will no longer have a large consumer base. Once generics are on the market, consumers will choose to purchase those because of the cheaper price.
XIFAXAN - Dog
XIFAXAN is a dog that Salix will be selling off. Salix’s competitor, Bayer, produces CIPRO, a drug also used to treat traveler’s diarrhea. XIFAXAN does not make much of a profit and will likely not grow in the future. It is not as widely used as CIPRO. Salix should sell the rights to CIPRO in order to get more cash to invest in other ventures.
SPACE Matrix
