- Jan 20, 2001
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^^ That's kinda my point. I'm not anti-capitalism but I'm definitely opposed to legalized robbery.
Merck's patent for Zocor (one of the top selling drugs EVAR!) came to an end this year. Normally, Big Pharma extends patents by lawsuit. When that strategy plays out they then get an 'authorized' generic manufacturer so Big Pharma can still get a cut (without doing any work) on top of the continued profits from people stupid enough to continue buying the brand.
MRK did something totally out of the box. They priced Zocor BELOW Teva's generic version. The cynic says they did it to piss off Teva. But it's actually a shrewd business move. MRK will still make money even after cutting the price by a load. MRK has their highly advertised drug Vytorin which is actually a combination of Zocor and a drug called Zetia. Naturally, MRK's angle is to get doctors to continue to prescribe Zocor and if patients need more . . . just shift them over to Vytorin.
Personally and professionally, I have no problem with MRK's behavior. It's good business but there's nothing really corrupting about it. Generic manufacturers can still make and sell the drug at profit b/c MRK isn't 'dumping' drug on the market.
Don't even get me started on the orphan drug rules. That's become the prototypical 'how government fudges up even a good idea' . . .
Merck's patent for Zocor (one of the top selling drugs EVAR!) came to an end this year. Normally, Big Pharma extends patents by lawsuit. When that strategy plays out they then get an 'authorized' generic manufacturer so Big Pharma can still get a cut (without doing any work) on top of the continued profits from people stupid enough to continue buying the brand.
MRK did something totally out of the box. They priced Zocor BELOW Teva's generic version. The cynic says they did it to piss off Teva. But it's actually a shrewd business move. MRK will still make money even after cutting the price by a load. MRK has their highly advertised drug Vytorin which is actually a combination of Zocor and a drug called Zetia. Naturally, MRK's angle is to get doctors to continue to prescribe Zocor and if patients need more . . . just shift them over to Vytorin.
Personally and professionally, I have no problem with MRK's behavior. It's good business but there's nothing really corrupting about it. Generic manufacturers can still make and sell the drug at profit b/c MRK isn't 'dumping' drug on the market.
Don't even get me started on the orphan drug rules. That's become the prototypical 'how government fudges up even a good idea' . . .