Happy Pets Inc has had a virtual monopoly for antidepressant drugs for animals for many years (similar to Eli Lilly’s product Prozac for humans).

Happy Pets Inc has had a virtual monopoly for antidepressant drugs for animals for many years (similar to Eli Lilly’s product Prozac for humans). With a patent on this drug, it has had very little competition and this drug has been a major source of company revenue and profit. However, the patent will soon expire and other drug-manufacturing firms seem to be preparing to enter the market in competition with Happy Pets. Describe the changes in pricing that are likely as competitors enter this market. Describe the current market structure and the type of market structure you think will emerge after the patent expires. What should Happy Pets do in response to these market changes to maximize its profits from this product? What other recommendations would you offer this firm?

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