Essay on Eli Lilly

1411 Words Nov 12th, 2013 6 Pages
Eli Lilly Eli Lilly was founded in 1876 and started off as a small pharmaceutical manufacturer. The company has grown to be one of the biggest pharmaceutical manufacturers in the world. In the 1980’s their number one product was Prozac, and right behind that was insulin. Eli Lilly invested over $700 million dollars of research and development money into improving the lives and health of diabetic patients. There are two types of diabetes, Type I, and Type II. Type I or juvenile, is typically diagnosed in children or young adults. Diabetic children are not able to produce insulin on their own, therefore, they must have insulin injections daily. In 1921 there was no effective treatment for Type I …show more content…
In the early 1900’s insulin was derived from the pancreases of cows or pigs. So it was considered a natural vs synthetic product. The second major problem; was the availability of cows and pigs and the belief that the consumption of beef and pork would leave a short supply of animals to use for insulin extraction.
Additional problems with being a diabetic was the process for testing, dosages measurement and application. The processes were considered tedious, time consuming and not easily accomplished outside the home, at school, dining out, traveling, working etc. It could take up to five minutes to prepare and inject the shot. Also patients had sloppy self-management techniques for caring for themselves even if they had all the necessary items in order to control their diabetes
In the 1990’s Lilly was at the top of their market, but they had a competitor who was based in Denmark. Novo had introduced insulin pens to the European market several years prior to Lilly with great success and was considered competition. Novo has launched similar products, around the same time Lilly, could there have been a leak of proprietary information from Lilly to Novo? Lilly had also been having difficulty selling their new products. Due to all the research that Lilly put into their new products they has to sell them at a premium price in order to make a profit.
Lilly and Novo both dominated the insulin market around the 1990’s.

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