ABSTRACT

Pricing drugs in the USA has become the object of widespread consumer objection, extensive federal and state efforts to lower prices, the introduction of wholesale management companies, and a massive addition of coverage but at high prices and substantial profits for all involved. High prices for products that suffering or dying patients need has made the pricing of drugs very controversial. If the principal goal of pharmaceutical companies is to maximize revenues, profits, and growth, the principal goal of buyers is to buy effective medicines at the lowest price. The industry rails against government "price controls" in Canada and Europe, where a price board often negotiates volume discount prices with companies, but corporate price controls prevail in the USA. Most professional articles on pricing drugs focus on cataloging patterns or delving into the technicalities of pricing theory.