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# A director of the Rexx Pharmaceutical Company argued that

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BSchool Forum Moderator
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A director of the Rexx Pharmaceutical Company argued that [#permalink]

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23 May 2010, 08:05
1
KUDOS
00:00

Difficulty:

55% (hard)

Question Stats:

67% (01:01) correct 33% (01:41) wrong based on 25 sessions

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A director of the Rexx Pharmaceutical Company argued that the development costs for new vaccines that the health department has requested should be subsidized by the government, since the marketing of vaccines promised to be less profitable than the marketing of any other pharmaceutical product. In support of this claim the director argued that sales of vaccines are likely to be lower since each vaccine is administered to a patient only once, whereas medicines that combat diseases and chronic illnesses are administered many times to each patient.

Which one of the following, if true, most weakens the support offered by the company director for the claim concerning the marketing of vaccines?

(A) Vaccines are administered to many more people than are most other pharmaceutical products.
(B) Many of the diseases that vaccines are designed to prevent can be successfully treated by medicines.
(C) Pharmaceutical companies occasionally market products that are neither medicines nor vaccines.
(D) Pharmaceutical companies other than the Rexx Pharmaceutical Company produce vaccines.
(E) The cost of administering a vaccine is rarely borne by the pharmaceutical company that manufactures that vaccine
[Reveal] Spoiler: OA

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Manager
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Schools: Dalhousie School of Business (Corporate Residency MBA)
Re: A director of the Rexx Pharmaceutical Company argued that [#permalink]

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23 May 2010, 08:13
1
KUDOS
I like A:
RaviChandra wrote:
A director of the Rexx Pharmaceutical Company argued that the development costs for new vaccines that the health department has requested should be subsidized by the government, since the marketing of vaccines promised to be less profitable than the marketing of any other pharmaceutical product. In support of this claim the director argued that sales of vaccines are likely to be lower since each vaccine is administered to a patient only once, whereas medicines that combat diseases and chronic illnesses are administered many times to each patient.

Which one of the following, if true, most weakens the support offered by the company director for the claim concerning the marketing of vaccines?

(A) Vaccines are administered to many more people than are most other pharmaceutical products.
This conflicts directly with the notion that that other products have multiple uses and are therefore more profitable.

(B) Many of the diseases that vaccines are designed to prevent can be successfully treated by medicines.
This suggests that people would be more inclined to forgo taking the vaccines (making them less profitable, thereby supporting the argument).

(C) Pharmaceutical companies occasionally market products that are neither medicines nor vaccines.
That's nice. We don't care.

(D) Pharmaceutical companies other than the Rexx Pharmaceutical Company produce vaccines.
Which means Rexx doesn't have a monopoly, which means their vaccines bear additional marketing costs and will have lower prices due to competitive pressure. Supports the argument.

(E) The cost of administering a vaccine is rarely borne by the pharmaceutical company that manufactures that vaccine
This has nothing to do with the number of vaccine doses administered.

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Senior Manager
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Re: A director of the Rexx Pharmaceutical Company argued that [#permalink]

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23 May 2010, 08:44
RaviChandra wrote:
A director of the Rexx Pharmaceutical Company argued that the development costs for new vaccines that the health department has requested should be subsidized by the government, since the marketing of vaccines promised to be less profitable than the marketing of any other pharmaceutical product. In support of this claim the director argued that sales of vaccines are likely to be lower since each vaccine is administered to a patient only once, whereas medicines that combat diseases and chronic illnesses are administered many times to each patient.

Which one of the following, if true, most weakens the support offered by the company director for the claim concerning the marketing of vaccines?

(A) Vaccines are administered to many more people than are most other pharmaceutical products. >>> IMO, Correct >>> Though "each vaccine is administered to a patient only once", but if no. of subject are high...so low profits can be compensated for..
(B) Many of the diseases that vaccines are designed to prevent can be successfully treated by medicines.>>> Okie..but then what..Health department wants vaccines to be developed not medicines
(C) Pharmaceutical companies occasionally market products that are neither medicines nor vaccines.>>> IMO, Out of scope
(D) Pharmaceutical companies other than the Rexx Pharmaceutical Company produce vaccines. >>> It supports the manufactures claim in an indirect manner..as market size gets reduced..
(E) The cost of administering a vaccine is rarely borne by the pharmaceutical company that manufactures that vaccine >>> It's gud for the company and company should develop vaccines...But manufacture's claim is based on the "economy of scale".

OA plz.

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Senior Manager
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Re: A director of the Rexx Pharmaceutical Company argued that [#permalink]

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23 May 2010, 09:20
RaviChandra wrote:
A director of the Rexx Pharmaceutical Company argued that the development costs for new vaccines that the health department has requested should be subsidized by the government, since the marketing of vaccines promised to be less profitable than the marketing of any other pharmaceutical product. In support of this claim the director argued that sales of vaccines are likely to be lower since each vaccine is administered to a patient only once, whereas medicines that combat diseases and chronic illnesses are administered many times to each patient.

Which one of the following, if true, most weakens the support offered by the company director for the claim concerning the marketing of vaccines?

(A) Vaccines are administered to many more people than are most other pharmaceutical products.
(B) Many of the diseases that vaccines are designed to prevent can be successfully treated by medicines.
(C) Pharmaceutical companies occasionally market products that are neither medicines nor vaccines.
(D) Pharmaceutical companies other than the Rexx Pharmaceutical Company produce vaccines.
(E) The cost of administering a vaccine is rarely borne by the pharmaceutical company that manufactures that vaccine

The answer is A since it weakens the argument by stating that since vaccines are administered to a large population rather than medicines, the company will be able to cover a large portion of the population than ordinary medicines and therefore the point of vaccines sell 1 time, medicines are sold many times is weakened.
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BSchool Forum Moderator
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Re: A director of the Rexx Pharmaceutical Company argued that [#permalink]

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23 May 2010, 18:23
Its a Easy one OA:A

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Director
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Re: A director of the Rexx Pharmaceutical Company argued that [#permalink]

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07 May 2011, 05:42
yes it is like a sub 500 level question which 99/100 people get right on the exam
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What is of supreme importance in war is to attack the enemy's strategy.

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Re: A director of the Rexx Pharmaceutical Company argued that [#permalink]

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11 May 2011, 02:15
A
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Re: A director of the Rexx Pharmaceutical Company argued that   [#permalink] 11 May 2011, 02:15
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