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Each year it seems that banks make record profits. The profits earned by major banks don’t get returned to the customer but get returned to the bank’s shareholders instead. The management of banks w

According to USFDA, a combination product is one composed of any combination of a drug and device; biological product and device; drug and biological product

ants to provide a positive return to their shareholders. To get this return, they charge their customers in a variety of ways for the services they provide. Interest on loans and fees on a variety o

; or drug, device, and biological product and fixed dose combination would include two or more combinations of drug.

Examples of combination products may in

services are two of the primary ways banks earn money.

Banks use sophisticated financial models and employ very bright people to decide the proper rates to charge on their loans. Their objective is

lude drug-coated devices, drugs packaged with delivery devices in medical kits, and drugs and devices packaged separately but intended to be used together.

to charge a rate high enough to maximize their interest margin (the difference between the rate they charge consumers and their cost of funds) but low enough to ensure they don’t lose business to maj

here is enormous increase in the number of combination products entering the market in the recent years. Combination products have proven advantages but fixe

r competitors. On the fee side, banks charge what they think the market will bear. Fees ranging from late payment fees, overlimit fees, minimum balance fees, ATM fees to a variety of transaction fee

d dose combinations are still in the process of convincing regulatory authority on their advantages over the single ingredient formulations.

Combination pro

add a significant amount to a bank’s bottom line.

Most consumers are not aware of the total amount they pay their bank each year in interest and fees but the number is significant. Interest on a $3

ucts have become life saving products for the pharmaceutical companies who doesn’t have many innovative molecules in their product pipeline and have been inc

0,000 car loan can be as much as $2,400 or more depending on the rate charged. Fees can add up to hundreds of additional dollars each year depending on the services you use. It’s safe to say that ho

easingly used in the product life cycle management. Even the companies having product patents are trying to extend their product life cycle through the combi

seholds in the United States pay thousands of dollars in interest and fees each year.

There is a better way.

There’s a simple way to reduce the amount you spend each year on interest rates an

nation products and maximize the revenues. But the companies involved in this practice are overlooking that they are burdening the patients both economically

d fees and save thousands of dollars in the process. Switch your banking business from a traditional bank to a credit union. Credit unions are member-owned, not-for-profit, institutions whose sole p

and physically. They need to rightly judge the benefits of the combination products and they have to even look at the risks involved when combining the produ

rpose is to serve their member-owners.

Historically, credit unions served the employees of one particular company or the members of a specific occupation. Things have changed, however. Today, most p

ts. Some of the combination products were well accepted by physicians while others suffered. Companies involved in development of combination products are fi

ople have access to a credit union by virtue of where they live or work. It’s common to find many communities across the country whose residents can join the local credit union. All is takes is a si

ding difficulty in defining their combination products and facing various challenges from selecting a combination to marketing it.

Following aspects would a

mple membership application and the purchase of one “share” in the credit union (typically between $5 and $25).

For your membership, you gain access to lower rates on loans, higher rates on savings a

dd to the challenges in developing combination products:

Which markets to tap where the combination products can do fairly well?
Which combination prod

d lower fees. Credit unions can charge less because they’re owned by their members and not by outside shareholders. The savings can be significant. On the car loan example above, credit unions char

cts are meaningful and rational?
Which therapeutic categories to select?
Which Combinations can address unmet needs of the patients?
Do combin

ge, on average, 2.04% less than banks on used car loans (as of December 20, 2005) according to Datatrac, an industry rate tracking service. That would mean savings of $600 annually on the car loan.

tions increase the patient compliance?
What would be the developing cost?
How to tackle the risks encountered during combination product developmen

f you have two car loans, the savings are doubled. Similar savings exist on credit cards and home equity loans. Keep in mind that these are average differences. The savings are bigger in certain pa

t?

As combination products don't fit into the traditional categories of drugs, medical devices, or biological products, the USFDA is in the process of devel

ts of the country.

Fees also tend to be much lower at credit unions. Credit card late fees or NSF fees which can range up to $35 at banks are typically $20-$25 at a credit union. ATM usage fees whi

ping new procedures for reviewing their safety, efficacy and quality.

Professional from academic institutions, pharmaceutical industries, health care indust

ch can be up to $2.50 per ATM transaction at major banks tend not to be as big an issue at credit unions due to large, cooperative ATM networks which include as many as 25,000 ATMs nationwide.

Most m

y and representatives from various regulatory agencies are working out to design the regulatory requirements for manufacture and sale of combination products

jor credit unions offer all of the same services as big banks. Online banking, free bill pay and investment services are common. There are still a number of smaller credit unions in existence so be

.

As there is an increasing trend of the combination products companies manufacturing such products should be able to tackle the problems involved in the de

sure to ask about the services offered before you join. To find a credit union in your area, visit the credit union locator page on the Credit Union Nation

elopment. They need to be wiser in analyzing the market trends and the regulatory requirements.

Companies that provide selfless information through particip

l Association web site.

Smart shopping can save you thousands of dollars each year without much effort. A savvy consumer can keep more money in their pocket by using a credit union versus a bank

tion in industry events and feedback to regulatory authorities would be able to face the challenges and will be successful in developing combination products

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Aside from advertising, the biggest expense involved in mail order business is postage. This means that virtually everyone involved in mail order is on the look-out for ways to save money getting their sales offers out to prospects. The answer is co-op mailings.

Business executives and those that teach at major universities have classes on business presentations. Every MBA student who takes marketing classes has to give business presentations to the class on fictitious businesses and business plans that they are working on within their study group. However, professors generally do not discuss presentations from major political figures to the masses.

Sales Managers need to evaluate each sales person’s motivation, skills, and the thinking supporting them due to shifting corporate goals and competitive threats.

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