---
name: international-reference-pricing-risk-assessor
description: "Assesses international reference pricing (IRP) cascade risk for a proposed launch by mapping referencing dependencies across target markets, simulating price corridor erosion under multiple launch sequences, and flagging high-risk countries and timing decisions. Produces an IRP network map, corridor erosion scenarios, a launch sequence risk ranking, and specific mitigation actions. Use when planning a global launch price, deciding launch sequencing, evaluating a price concession request from one market, or diagnosing why a reference basket is dragging down net prices."
argument-hint: "[launch-price] [target-markets]"
allowed-tools: ["Read"]
---

# International Reference Pricing Risk Assessor

## Purpose
Quantify how a proposed launch price will erode across a portfolio of markets through international reference pricing (IRP) cascades, and identify the sequencing and country-level decisions that protect or destroy the global price corridor. Turns a single launch price into a defensible cross-market strategy instead of a first-order guess.

## When to Use
Invoke this skill when the user asks to:
- Assess IRP cascade or spillover risk for a proposed launch price
- Decide the optimal country sequence for a global or regional launch
- Evaluate how a discount or concession in one market will ripple into others
- Diagnose why net prices in a portfolio are eroding faster than expected
- Set a defensible price corridor (floor and ceiling) before submitting for reimbursement
- Stress-test a launch plan against a mandatory price cut or parallel trade scenario

## Inputs Required
Before starting, collect:
- **Proposed launch price**: The ex-factory or list price under consideration, with currency
- **Target markets**: The countries in scope (launch markets plus any that reference them)
- **Referencing rules known**: Any known IRP baskets, basket sizes, and calculation methods (average / lowest-N / median) per market — if unknown, standard rules will be applied
- **Planned or preferred sequence**: The intended order and rough timing of launches, if one exists
- **Price flexibility per market**: Where discounts, managed-entry agreements, or confidential net prices are feasible
- **Commercial priorities**: Which markets are highest-value or strategically protected
- **Constraints**: Mandatory price review dates, parallel trade exposure, or regulatory deadlines

If referencing rules are not provided, apply documented standard IRP methodologies per country and label each as an assumption. If no sequence is given, generate and compare candidate sequences.

## Instructions

### Step 1: Build the IRP Network Map
Map who references whom before assessing any price.
- For each target market, list its reference basket: which countries it references, basket size, and calculation method (average of basket / lowest N / lowest single / median)
- Classify each market as: **Source** (heavily referenced by others, low inbound referencing), **Sink** (references many, referenced by few), or **Hub** (both references and is referenced)
- Identify **downstream dependency chains**: e.g., Country A → referenced by B, C → B referenced by D → cascade depth of 3
- Note referencing timing rules: static (price at launch), dynamic (periodic re-referencing), and re-referencing frequency
- Flag markets with confidential net price mechanisms where the *list* price is what gets referenced, not the net — these are corridor protectors

### Step 2: Establish Price Floor and Ceiling
Define the corridor the strategy must hold.
- **Ceiling**: The highest defensible list price given the value proposition and the highest-price comparator markets
- **Floor**: The lowest price in the network that any high-referencing market will pull from — this becomes the effective anchor for all markets referencing it
- Calculate the **corridor width** (ceiling − floor as % of ceiling); a wide corridor with a low-price Source market signals structural erosion risk
- Identify **floor-setting markets**: the low-price countries that disproportionately drag the whole network via lowest-N baskets

### Step 3: Simulate Corridor Erosion Scenarios
Run the price through the network under the proposed sequence and quantify erosion.
- **Scenario A — Base sequence**: Apply the proposed/planned launch order and cascade prices market by market. Report the resulting price in each downstream market after all referencing settles.
- **Scenario B — Low-price-first**: Launch a low-flexibility or low-price market early and show the amplified erosion.
- **Scenario C — Protected corridor**: Launch high-price Source markets first, defer or manage low-price markets, and use confidential nets where available.
- For each scenario, report: settled price per market, weighted average net price across the portfolio, total corridor erosion vs. the proposed launch price, and time-to-erosion.
- Express erosion in both % and absolute revenue terms using relative market sizes where provided.

### Step 4: Rank Launch Sequences by Risk
Score candidate sequences.
- For each candidate sequence, assign a **Cascade Risk Score** (Low / Medium / High) based on: how early low-price markets enter, cascade depth exposed, corridor erosion %, and reversibility
- Highlight the single highest-risk sequencing decision (the "trap move") — typically launching a Source-classified low-price market before high-value referencing markets have locked their price
- Recommend an optimal sequence with explicit rationale

### Step 5: Flag High-Risk Markets and Decisions
Produce a prioritized watchlist.
- List each market with a **risk flag**: reason (e.g., "Source market with lowest-of-basket referencing feeding 6 downstream markets"), and the specific decision at stake
- Identify concession requests that are deceptively expensive (a small discount in a Source market that cascades widely)
- Note parallel trade / re-referencing risks that could re-erode a settled corridor later

### Step 6: Mitigation Actions
Give specific, sequenced actions.
- Sequencing changes (defer, accelerate, or bundle specific market launches)
- Where to deploy confidential net pricing, managed-entry agreements, or list-vs-net separation to shield the corridor
- Which floor-setting markets to negotiate hardest on and why
- Monitoring plan: which re-referencing dates to watch and what triggers a corridor re-assessment

## Output Format
- **Structure**: Six sections following the steps; IRP network map and market watchlist as tables; erosion scenarios as comparative tables; sequence ranking as a scored table
- **Length**: 1,000–1,400 words
- **Format**: Structured document with tables for the network map, scenario comparison, and market watchlist; prose for diagnosis and recommendations
- **Sections**: IRP Network Map → Price Floor & Ceiling → Corridor Erosion Scenarios (A/B/C) → Launch Sequence Risk Ranking → High-Risk Market Watchlist → Mitigation Actions
- **Tone**: Global pricing strategist — quantitative, risk-forward, decision-oriented; states the trap move plainly rather than hedging

## Quality Checklist
Before delivering output, verify:
- [ ] Every target market is classified as Source / Sink / Hub in the network map
- [ ] At least three erosion scenarios are simulated with settled prices reported per market
- [ ] Floor-setting markets are explicitly named, not just described
- [ ] Each candidate sequence has a Low/Medium/High Cascade Risk Score with rationale
- [ ] The single highest-risk sequencing decision (the "trap move") is called out explicitly
- [ ] Every assumed referencing rule is labeled as an assumption when not provided by the user

## Notes
- The most expensive mistake in global launches is launching a low-price Source market before high-value markets lock their reference — this is where the cascade compounds fastest
- List-vs-net separation is the strongest corridor defense available: many baskets reference published list prices, so confidential nets can hold the referenced price high while the real price flexes
- Re-referencing (dynamic IRP) means a corridor can erode months after launch — a clean launch does not mean the risk is over; the monitoring plan matters as much as the sequence
- When referencing rules are uncertain, run the assessment against both average-of-basket and lowest-N assumptions; the gap between them reveals how sensitive the corridor is to methodology

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## How to use this skill

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**Using in Claude.ai, ChatGPT, Gemini, or other AI tools:**

1. Drag this file into a new chat, or copy and paste its contents
2. Send your task or request as your next message — the AI will apply the skill where it fits

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