Pharmaceutical Industry - The pharmaceutical industry is, without a doubt, one of the most maligned and assaulted industries operating in the world today. Not a day goes by when some news organization is not broadcasting or carrying a report or feature story in which the pharmaceutical industry is not minced and maimed.
The first area in which the pharmaceutical industry has been the object of sustained attacks and criticism is in regard to the profit margin enjoyed by the company.
In point of fact it is hard to counter the obvious fact that the pharmaceutical industry has enjoyed a huge profit margin generally speaking and overall during the past ten to twenty years. Indeed, the pharmaceutical industry has enjoyed a respectable to wonderful profit margin for far more than two decades.
In some countries is tightly on for the pharmaceutical industry to cut the costs associated with its products. Governmental officials and citizens generally in various nations argue that because the profits enjoyed by the pharmaceutical industry are so great, the industry should reevaluate its positioning and reduce the prices associated with their products.
The industry counters that they need to maintain a respectable profit margin to ensure that they will be able to fund their research and development on into the future. These companies argue that R & D is extremely expensive in the pharmaceutical industry. They contend, really rather accurately and truthfully, that it can costs millions of dollars in R & D costs to bring a drug to market.
The second area in which the pharmaceutical industry has been the object of sustained attacks is in the area of liability. Lawsuits filed against the various companies making up the pharmaceutical industry have increased astronomically in recent years.
Class actions have become so prevalent in the pharmaceutical industry that hardly a week passes in which a new class action suit is not filed against a member of the pharmaceutical industry.
The situation with Vioxx that has erupted recently is a perfect example of litigation that assaults the industry with regularity. Merck, the company that manufactured Vioxx, will likely end up paying billions of dollars based on the vast number of people joining into class action lawsuits against the corporation.
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