This case examines the microeconomic pricing issues related to the sale of inexpensive vaccines for use in developing countries. The case describes the history of the United Nations so-called “tiered pricing” policy success. This policy had been allowed to the World Health Organization to large quantities of vaccines at the marginal price of production of vaccines, often only a few cents per dose while the developed nations paid the full average cost-often many times buy more. Changing political circumstance … Read more »

This case examines the microeconomic pricing issues related to the sale of inexpensive vaccines for use in developing countries. The case describes the history of the United Nations so-called “tiered pricing” policy success. This policy had been allowed to the World Health Organization to large quantities of vaccines at the marginal price of production of vaccines, often only a few cents per dose while the developed nations paid the full average cost-often many times buy more. However, changing political circumstances and the cost structure of new vaccines threaten the decades-old arrangement. HKS CERTIFICATE 1450.0
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from
Susan Rosegrant,
Jose Gomez-Ibanez
16 pages.
Release date: 01 November 1997. Prod #: HKS499-PDF-ENG
Vaccines for the Third World: A Challenge for the tiered pricing HBR case Hallows solution

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