Back to School Offer

Get 20% of Your First Order amount back in Reward Credits!

Get 20% of Your First Orderback in Rewards

All papers examples
Get a Free E-Book! ($50 Value)
HIRE A WRITER!
Paper Types
Disciplines
Get a Free E-Book! ($50 Value)

Pharmaceutical Industry and the Society, Research Paper Example

Pages: 2

Words: 438

Research Paper

Pharmaceutical companies manufacture products that may be more appropriately classified as needs rather than wants. Thus, pharmaceutical companies have a social responsibility to ensure that there are ways for less privileged members of the society to have access to expensive and often life-saving medicines irrespective of their income levels. In addition, pharmaceutical companies get access to government funded studies(Woods, 2010) as well as research grants whose funding comes from taxpayers.

The primary stakeholders of a pharmaceutical company in order of importance are shareholders, management and employees, customers, general public, and the government. Shareholders are the most important because they are owners of the company and like any other for-profit organization, they have a right to earn maximum return on their investment. Management and employees come next because without leadership and the employees many of whom are scientistscarrying out research, the organization’s very existence may be threatened. Customers come next because they pay for those drugs and keep the company in operation. Without a source of profit, the pharmaceutical company will have little incentive to stay in operations. The general public comes next because pharmaceutical companies manufacture life-saving medicines and thus, have an ethical responsibility towards less well-off members of the society.The government is the last one because even though it should not interfere in the affairs of private corporations but it has a responsibility towards maximizing the overall welfare of the society and ensuring that private corporations engage in ethical business practices.

Pharmaceutical companies are justified in charging high prices due to their high overhead costs. When Businessweek surveyed 25 companies in 2009 that increased their research budgets despite a tough economic climate, 13 of those were pharmaceutical and biotech companies (Thornton & Jespersen, 2009). In addition, there are significant risks in the pharmaceutical sector and economic principles dictate that higher risks can only be justified by higher returns. Thus, higher expected rate of returns are essential in order to keep pharmaceutical companies engaged in research in order to discover new cures. Moreover, it’s expensive to bring a new drug to the market and the total cost of a single drug sometimes exceeds $1 billion (Harris, 2011). Thus, instead of just looking at high profits of the pharmaceutical companies, one should also look at the risks they take and their contributions towards finding new cure.

References

Harris, G. (2011, January 22). Federal Research Center Will Help Develop Medicines. Retrieved September 30, 2011, from http://www.nytimes.com/2011/01/23/health/policy/23drug.html?pagewanted=all

Thornton, E., & Jespersen, F. (2009, August 27). Drug, Biotech Research Spending Hangs Tough. Retrieved September 30, 2011, from http://www.businessweek.com/bwdaily/dnflash/content/aug2009/db20090827_362578.htm

Woods, T. (2010, August 3). Drug Studies are Biased if Funded by Pharmaceuticals Companies. Retrieved September 30, 2011, from http://www.emaxhealth.com/1357/drug-studies-are-biased-if-funded-pharmaceuticals-companies

Time is precious

Time is precious

don’t waste it!

Get instant essay
writing help!
Get instant essay writing help!
Plagiarism-free guarantee

Plagiarism-free
guarantee

Privacy guarantee

Privacy
guarantee

Secure checkout

Secure
checkout

Money back guarantee

Money back
guarantee

Related Research Paper Samples & Examples

Analysis of Americans With Disabilities Act, Research Paper Example

Introduction Legislators in Congress created and approved the Americans with Disabilities Act (ADA) in 1990, making it a part of US law. This policy aimed [...]

Pages: 11

Words: 3147

Research Paper

Polygamy Practise vs the Nepal Polygamy (Polyandry) Practise, Research Paper Example

Polygamy is referred to as the act of marrying multiple spouses at the same time. The word “polygamy” comes from the Greek for “many marriages.” [...]

Pages: 15

Words: 4227

Research Paper

Mealworms Experiment, Research Paper Example

Mealworms Experiment Conducted by Student at the External University Campus Science Labs Introduction According to Saud and Paudel (2018), pollution is one of the major [...]

Pages: 6

Words: 1567

Research Paper

Exegesis Psalm 1:1-6, Research Paper Example

God’s law on life is central in Psalms, as the author describes a life worth living. The book uses poetic formats to present an eloquent [...]

Pages: 4

Words: 1198

Research Paper

The Impact of Cyber Safety, Research Paper Example

The Impact of Cyber Safety on Educational Outcomes of Secondary School Students Introduction Rationale The internet enables students to access information anytime, anywhere, 24 hours [...]

Pages: 7

Words: 2038

Research Paper

Application of RFID Technology in Reverse Logistics, Research Paper Example

Background/ Introduction Reverse logistics is one of the most challenging aspects of the supply chain. While forward logistics is usually an orderly process, reverse logistics [...]

Pages: 1

Words: 353

Research Paper

Analysis of Americans With Disabilities Act, Research Paper Example

Introduction Legislators in Congress created and approved the Americans with Disabilities Act (ADA) in 1990, making it a part of US law. This policy aimed [...]

Pages: 11

Words: 3147

Research Paper

Polygamy Practise vs the Nepal Polygamy (Polyandry) Practise, Research Paper Example

Polygamy is referred to as the act of marrying multiple spouses at the same time. The word “polygamy” comes from the Greek for “many marriages.” [...]

Pages: 15

Words: 4227

Research Paper

Mealworms Experiment, Research Paper Example

Mealworms Experiment Conducted by Student at the External University Campus Science Labs Introduction According to Saud and Paudel (2018), pollution is one of the major [...]

Pages: 6

Words: 1567

Research Paper

Exegesis Psalm 1:1-6, Research Paper Example

God’s law on life is central in Psalms, as the author describes a life worth living. The book uses poetic formats to present an eloquent [...]

Pages: 4

Words: 1198

Research Paper

The Impact of Cyber Safety, Research Paper Example

The Impact of Cyber Safety on Educational Outcomes of Secondary School Students Introduction Rationale The internet enables students to access information anytime, anywhere, 24 hours [...]

Pages: 7

Words: 2038

Research Paper

Application of RFID Technology in Reverse Logistics, Research Paper Example

Background/ Introduction Reverse logistics is one of the most challenging aspects of the supply chain. While forward logistics is usually an orderly process, reverse logistics [...]

Pages: 1

Words: 353

Research Paper

Get a Free E-Book ($50 in value)

Get a Free E-Book

How To Write The Best Essay Ever!

How To Write The Best Essay Ever!