According to IMS Health, pharmaceutical information companies, the price for generic drugs are increasing almost twice as fast as prices f... ... middle of paper ... ...Noriko (2002) Promoting Good Ideas on Drugs: The Relative Efficiency of Patent and Public Support for Bio-Medical Research October 11, 2002, http://www.cepr.net/promoting_good_ideas_on_drugs.htm “Buying prescription Medicines Online: A Consumer Safety Guide,” available online at http://www.fda.gov/cder/drug/consumer/buyonline/guide.htm Francis, David R. (2003) Healthcare costs are up. Here are the culprits. http://www.csmonitor.com/2003/1215/p21s01-coop.html Haislmaier, Edmund F. (2004) Compromising Quality: The High Cost of Government Drug Purchasing. The Heritage Foundation. May 25, 2004 Meadows, Michelle (2002) Imported Drugs Raise Safety Concerns.
• Reximet was used to treat acute migraines. However, the company would begin selling this drug in 2012. Industry Background Pharmaceutical industry used to be a powerhouse industry with revenue of billions dollar. 1995 through 2002 was the hey-day period of pharmaceutical industry. In this period, profitability for the pharmaceutical companies was three times more than profitability of the median of all Fortune 500 companies in 2004.
Bertelli, G., Hall, E., Ireland, E., Snowdon, C. F., Jassem, J., Drosik, K. Long-term endometrial effects in postmenopausal women with early breast cancer participating in the Intergroup Exemestane Study (IES)--a randomised controlled trial of exemestane versus continued tamoxifen after 2-3 years tamoxifen. Annals of Oncology 2010; 21(3), 498-505. 3. Kiyotani, K., Mushiroda, T., Nakamura, Y., & Zembutsu, H. Pharmacogenomics of Tamoxifen: Roles of Drug Metabolizing Enzymes and Transporters. Drug metabolism and pharmacokinetics 2012; 27(1), 122-131.
Pharmaceutical industry patents also have tremendous impact on health care policies due to their influence on the cost of medicine. A new medication can cost in the billions of dollars requiring pharmaceutical companies to incur significant risk. The patent mitigates that risk encouraging medical companies to pursue new, innovation medicines that are essential to medical advancements. The pharmaceutical industry grew rapidly from the early 90’s until 2008. Blockbuster drug sales produced large revenues for their companies leading this period of growth.
Pharmaceutical companies have been rightfully rewarded for saving millions of lives and reducing suffering, but this book argues that the lines are being crossed from reaching from the ill to merchandise to the healthy. At this day in age, when the average lifespan has been lengthened and people are enjoying healthier more vital lives, intense advertising and "awareness-rising" campaigns are turning the worried well into the worried sick.
Retrieved May 13, 2014, from http://cancer.stanford.edu/information/cancerTreatment/methods/hormone.html Cancer Research UK. (2012, October 24). Biological therapy for breast cancer. Retrieved May 13, 2014, from http://www.cancerresearchuk.org/cancer-help/type/breast-cancer/treatment/biological-therapy-for-breast-cancer Cleveland Clinic. (2014, January 1).
MARKET OVERVIEW The global pharmaceutical market is a multibillion-dollar industry. The 10 largest drug companies control over one-third of the market, several with sales of more than $10B a year and profit margins of 30%. Six of these companies are based in the U.S. and four are in Europe. It is predicted that North and South America, Europe, and Japan will continue to dominate by accounting for 85% of the world’s pharmaceutical market. Companies currently spend one-third of all sales revenue on marketing, which is roughly twice of what they spent on R&D (“Pharmaceutical Industry”).
o Revenues of $10,161 million in the fiscal year ended December 2014 was seen by the organization, an increase of 5.3% over 2013.The company 's operating profit was $419 million in fiscal 2014, as compared to an operating loss of $22 million in 2013. Its net profit was $402 million in fiscal 2014, an increase of 34% over 2013 (Sutter Health, 2016). WEAKNESSES • Sutter Health dominating the medical-care market attributed towards overwhelming healthcare costs. o According to Waldman (2010) Sutter Health the nonprofit that owns Sutter Davis, charges 40% to 70% more than its neighboring hospitals for a typical procedure, and it requires insurers to keep its rates secret. Sutter, with 2009 revenues of $8.8 billion, can charge these prices because it has acquired more than a third of the medical-care market in the region from San Francisco to Sacramento.
A report from URCH Publishing estimated that one third of the pharma market is accounted for by blockbuster drugs by value. Between 2000 and 2005 drugs with more than $1billion in sales accounted for 28 to 36% of global sales changes in the sales of these drugs can cause large changed in a firms profitability .There are arguments that while many firms are capable of discovering and developing new drugs, only a handful of firms are capable of successfully commercializing a breakthrough innovation. This commercialization capability is what creates a blockbuster: without this capability, even a major innovation would not reach blockbuster status For example: Cimetidine was the first drug to reach a $1 billion target thus making it a blockbuster drug. Lipitor, a cholesterol-lowering medication marketed by Pfizer is the top seller with sales of $12.5 billion. In 2009 there were a total of seven new blockbuster drugs, with combined sales of $9.8 billion.
An important part of american society is public funding in certain areas. Marijuana would increase tax revenue that would be put into public services and establishments such as schools and hospitals. Marijuana increases business in legalized states. Tourism increases in the state due to foreigners trying to get there hands on some of the action. Tourism would likely double due to the legalization of the drug.