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| DEAL EVALUATION AND OPTIMAL STRATEGY DURING CONTRACT NEGOTIATION |
Scenario 1
Two companies enter into a collaboration in which one of the partners (Partner A) develops a product,
and the second partner (Partner B) acquires product IP and pays rewards to the company for each
successful phase in clinical trials. Partner B agrees to invest in marketing and manufacturing, and will
pay tiered royalties to Partner A depending on the revenue stream.
Challenge
Scenario 2
Two companies enter into a collaboration in which one of the partners (Partner A) has a product in early
phase development, and the second partner (Partner B) acquires and develops the product through
clinical trials. If Partner A opts in after certain phase of clinical trials, profit will be shared as certain
percentage of total revenue.
Challenge
Solution
ORBee Consulting offers a framework for optimal deal negotiation strategy and tuning parameters of the
deal. Proposed framework will derive:
Two companies enter into a collaboration in which one of the partners (Partner A) develops a product,
and the second partner (Partner B) acquires product IP and pays rewards to the company for each
successful phase in clinical trials. Partner B agrees to invest in marketing and manufacturing, and will
pay tiered royalties to Partner A depending on the revenue stream.
Challenge
- Define optimal negotiation strategy
- Reallocate deal parameters optimally as a response to change in deal terms and outcomes of the
collaboration
Scenario 2
Two companies enter into a collaboration in which one of the partners (Partner A) has a product in early
phase development, and the second partner (Partner B) acquires and develops the product through
clinical trials. If Partner A opts in after certain phase of clinical trials, profit will be shared as certain
percentage of total revenue.
Challenge
- Define optimal negotiation strategy
- Reasonable compensation for both parties
Solution
ORBee Consulting offers a framework for optimal deal negotiation strategy and tuning parameters of the
deal. Proposed framework will derive:
- Favorable negotiation zones for each partner
- Optimal negotiation strategy
- Reasonable compensation as a percentage of each partner’s efforts and investments
- Other customized metrics
If you would like to get information about other decision support modules, please click
below.
below.
 | Drug development portfolio optimization | |
| Optimal resource allocation across portfolio of clinical trials | |
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