What effects will BOTOX ( The wrinkle eliminator as seen on Dateline NBC) have on this company in the years ahead. The word is getting out about this product, and both women and men are flocking to its short term cure. Reportedly, AGN and another British company are the only two makers of this product worldwide. Anyone?
Good question - Americans have spent billions on products that don't work - maybe a good sign since Botox seems to work! I do know that Botox is increasingly difficult to acquire for use in more important medical applications such as treating CP. Also, a Feb 2, 1998 TIME magazine report indicates that Botox is being used to treat anal fissures (sorry I had to bring this up). The important question is what percentage of sales does Botox represent to AGN, and what is to keep others from entering the market if Botox demand increases?
Botox does represent around 8% of AGN's sales. The issue regarding the market is an interesting one. This product was given orphan drug status and it is also, patented for seven years. If I am not mistaken, we are entering the sixth year at this time. I am sure that others will bring out a generic brand eventually, but it is an extremely costly production process. It will require a company to invest a great deal of time and energy to enter this emerging market.