CNPR Market Analysis 2 — Questions and Answers
Question 1: What does 'market share' specifically measure in pharmaceutical sales analysis?
- Total revenue generated by a drug
- A brand's percentage of total sales within a therapeutic category (Correct answer)
- Number of prescriptions written per physician
- The number of competitors in a drug class
Correct answer: A brand's percentage of total sales within a therapeutic category
Market share measures a product's portion of total sales within its specific therapeutic category, not overall drug sales.
Question 2: A pharmaceutical rep notices that competitor prescriptions have increased while her product's prescriptions remained flat. What type of market data is she analyzing?
- Managed care formulary data
- Prescription market share trends (Correct answer)
- Pharmacokinetic data
- IMS Health audit reports
Correct answer: Prescription market share trends
Comparing relative prescription volumes between competitors over time is analysis of prescription market share trends.
Question 3: Which segmentation approach divides the pharmaceutical market by specific disease states or therapeutic areas?
- Geographic segmentation
- Demographic segmentation
- Therapeutic segmentation (Correct answer)
- Behavioral segmentation
Correct answer: Therapeutic segmentation
Therapeutic segmentation organizes the market by disease states or treatment categories, such as cardiovascular or diabetes.
Question 4: In pharmaceutical market analysis, 'new-to-brand' prescriptions (NBRx) best indicate:
- Total prescription volume for a product
- Patients switching from a competitor to your product (Correct answer)
- Refills and repeat prescriptions
- Off-label use of a medication
Correct answer: Patients switching from a competitor to your product
NBRx tracks patients who are being prescribed a specific brand for the first time, often switching from a competitor or starting therapy.
Question 5: A pharmaceutical sales rep reviews data showing that a drug class grew 12% in total prescriptions but her brand only grew 4%. What conclusion is most accurate?
- Her brand's market share increased
- Her brand is outperforming the market
- Her brand lost market share even though sales increased (Correct answer)
- The data is unreliable without IMS confirmation
Correct answer: Her brand lost market share even though sales increased
When a brand grows slower than the overall category, it loses market share even if absolute prescription numbers increase.
Question 6: Which factor most directly influences a drug's formulary tier placement in managed care market analysis?
- The drug's FDA approval date
- Clinical efficacy, safety profile, and cost-effectiveness negotiations (Correct answer)
- The number of sales reps promoting the drug
- The drug's patent expiration date
Correct answer: Clinical efficacy, safety profile, and cost-effectiveness negotiations
Formulary tier placement is primarily determined by a combination of clinical evidence, safety data, and the manufacturer's pricing negotiations with the payer.
Question 7: What is the primary purpose of conducting a SWOT analysis in pharmaceutical market planning?
- To schedule sales calls more efficiently
- To evaluate internal strengths/weaknesses and external opportunities/threats (Correct answer)
- To calculate total addressable market size
- To track individual physician prescribing habits
Correct answer: To evaluate internal strengths/weaknesses and external opportunities/threats
A SWOT analysis assesses internal organizational factors and external environmental factors to inform strategic planning.
CNPR Market Analysis 2
What does 'market share' specifically measure in pharmaceutical sales analysis?