i am taking managerial macroeconomic and i have a strategy session which i need to read and analyze the session from the book and we need to find one example from todays economy give the company names and situation how it will be related to this this strategy. Please see attached the strategy session for Elasticity in Specialty Drugs and explaining what happen and please provide a example form todays economy how related to this session.

I need two paragraph explanation.

Thank you,

TOTAL REVENUE, MARGINAL REVENUE, AND PRICE ELASTICITY STRATEGY SESSION: Elasticity in Specialty Drugs Specialty drugs are designed to treat illnesses that Gilenya wins significant market share, according to have major impacts on patients' lives, are difficult to the source article . treat, and don't affect a large number of people; these Under what conditions can the injectibles achieve are very expensive to produce. their goals? For revenues to be constant as prices One such disease is multiple sclerosis (MS). It rise and quantity falls, the elasticity must be unity. affects slightly over two million people worldwide, that is 1 = -1, and for revenues to increase when and a year's worth of drug treatment can approach prices increase and quantity falls, the demand must $50,000. be inelastic. Given the nature of the disease, it's not A new oral medication, Novartis AG's Gilenya, has too difficult to believe that demand could be inelas- recently received FDA approval. Its yearly price tag is tic. Once one has found an injectible that "works," it's $48,000. MS sufferers are looking forward to the drug likely that the user would stick with it. because its substitutes require injections, are much And maybe hope is on the way. There are three harder to self-administer, and can have nasty side other oral MS drugs in the testing stages that may be effects. The side effects of Gilenya are not completely a couple of years away. Hopefully, competition among known, but its ease of use is creating optimism. the producers can bring the price down. However, if The makers of injectibles are sensing that the the drugs differ with respect to their effectiveness and demand for their product will decline. A recent survey side effects, the product differentiation could still lead of neurologists by a Citigroup analyst showed that all to significant pricing power for each version. In addi- other MS drugs will suffer from declines in sales in tion, even with a homogenous product, competition the next year. Some expect Gilenya will be the market driving the price down to cost could still lead to a hefty leader by 2017. price for the drug given the high costs of production. So what are the producers of injectibles doing? They are raising their prices. They rose 39% last year (2010 to 2011). Analysts say that charging more for Source: Eva von Schaper and Naomi Kresge. "Novartis's the old treatment is a way to "keep revenues steady $48,000 Pill Spurs US Price Increase for MS Drugs," Bloomberg News, March 22, 2011, at www.bloomberg.comews/2011-03- as sales erode." Teva and Biogen Idec are two com- 21ovartis-5-48-000-pill-spurs-u-5-price-increases-for-ms- panies seeking to generate more revenue before drugs. html