Case
Teaching Notes
Abstract
This case presents an evolving negotiation where SMA and PharmaSciences (pseudonyms) are attempting to acquire a small company Nose-Clear (also a pseudonym) that manufactures a homeopathic sinus congestion remedy. On paper, this looks like an extremely attractive acquisition because of the benefits that come from integrating the homeopathic remedy with the patented muco-adhesive. Such a product provides a clear competitive advantage as the product cannot be copied because of the patent protection, which is not possible with purely homeopathic products. At the same time, the product can be legitimized and proven effective with clinical trials. The market for congestion relief is over $1 billion worldwide, so the upside potential is huge. But what starts out as a negotiation on product becomes a negotiation about people.
This case was prepared for inclusion in SAGE Business Cases primarily as a basis for classroom discussion or self-study, and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.
2023 Sage Publications, Inc. All Rights Reserved