Students will weigh the benefits of short-term profit maximization against the risks that a highly uncertain event could pose to a business and consider nonstandard approaches to mitigate these risks. Students will discuss the challenges of addressing low-probability, high-impact events; potential conflicts with the short-term view of the stock market and analyst community; and challenges of the patent protection model for drugs for life-threatening diseases.
Feddersen, T., Gottschalk, J. and Peters, L. (2017), "Roche and Tamiflu®: Doing Business in the Shadow of Pandemic", Kellogg School of Management Cases. https://doi.org/10.1108/case.kellogg.2016.000286
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