Industry Review

Pharmaceutical drug companies Drug design , production and marketing Fund allocation of a drug company 80 Research and development (R D 20 Sales Amount of funds spent on R D is strongly correlated with the strength of a company 's drug sales Stream Pharmaceutical drug companies Drug design , production and marketing Fund allocation of a drug company 80 Research and development (R D 20 Sales Amount of funds spent on R D is strongly correlated with the strength of a company 's drug sales Food and Drug Administration

(FDA Main governing body that controls the endorsement of prescription drugs Responsible for establishing standards for regulation and advertisement of drugs 1 . Explain all pertinent information on the drug , and 2 . Present the benefits and risks of using the drug Increase in Drug Purchases Makes up 10 of Makes up 3 of Causes of increase in drug purchase 1 . Increase in the price of the drugs 2 . Increase in frequency of drug usage 3 . Aggressive advertising and promotion of drug companies Increase in drug prices 17 increase in drug prices , comprised of 6 due to inflation 6 due to the actual price increase of drug 5 due to the switch from old to new drug Increase in frequency of drug usage Caused by switching from an old medication to a new medication - New drug is more efficacious and potent than old medication Elderly patients are being prescribed multiple pharmaceutical drugs for treatment and maintenance - Examples : blood pressure , cholesterol , blood sugar and depression

Drug form choices Brand-name drug - Generally more expensive - As potent as its generic form Generic drugs - Generally cheaper - As potent as its brand-name form - Some drugs are not available in the generic form

Pharmaceutical drug companies Drug design , production and marketing Fund allocation of a drug company 80 Research and development (R D 20 Sales Amount of funds spent on R D is strongly correlated with the strength of a company 's drug sales Food and Drug Administration (FDA Main governing body that controls the endorsement of prescription drugs Responsible for establishing standards for regulation and advertisement of drugs 1 . Explain all pertinent information on the drug , and 2 . Present the benefits and risks of using the drug Increase in Drug Purchases Makes up 10 of Makes up 3 of Causes of increase in drug purchase 1 . Increase in the price of the drugs 2 . Increase in frequency of drug usage 3 . Aggressive advertising and promotion of drug companies Increase in drug prices A 6 due to inflation 6 due to the actual price increase of drug 5 due to the switch from old to new drug

High price of a specific drug influences consumer 's decision in buying the drug Increase in frequency of drug usage Caused by switching from an old medication to a new medication - New drug is more efficacious and potent than old medication Elderly patients are being prescribed multiple pharmaceutical drugs for treatment and maintenance - Examples : blood...