pyq/2015/gs4/11

One of the scientists working in the R & D laboratory of a major pharmaceutical company discovers that one of the company’s best-selling veterinary drugs, B, has the potential to cure a currently incurable liver disease that is prevalent in tribal areas. However, developing a variant of the drug suitable for human beings entails a lot of research and development, having a huge expenditure to the extent of ₹50 crores. It was unlikely that the company would recover the costs as the disease was rampant only in poverty-stricken areas, having very little market otherwise.

If you were the CEO, then—

(a) Identify the various actions that you could take.

(b) Evaluate the pros and cons of each of your actions