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Big Pharma: Market Failure Film Review

by [Name of Student]

Course

Professor

[Name of Institution]

October 21, 2019

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Big Pharma: Market Failure Film Review

The main thesis of the film revolves around the pharmaceutical companies of how much

they are spending on the research and development as compared to the advertising of their existing

products. This documentary augments that there is minimal number of companies who invested

their earned money in a right way for research and development so that new drugs can be invented

that help the poor people. But unfortunately, the trend is different. These companies focused more

on hair loss products as compare to those products that require their attentions. Although the

government is supporting the research and development in this field through different programs,

still these companies need to recognize their position and come forward to help the humanity. The

people of the third world countries need their attention so that they cure of diseases.

The main argument of the documentary is on the investment of research and development

that pharmaceutical companies have to do. For supporting the purpose of research and developing

there are dual patents and medical prize fund system that pay these companies the amount that

they invested in research and development (Marko, 2018). Through patents, these companies can

enjoy the monopoly where they can charge high prices for the consumer and recover the amount

that they spent on research and development. This makes the price of medicine high for

underdevelopment countries, and people of these regions cannot afford it. Therefore, these people

are the replay of generic products due to their lower prices.

In this course, we learned that how the pharmaceutical companies operate and how they

invest in their business to expand it with the passage of time. Like other business in the world, the

pharmaceutical business is a little bit tricky where billions of investment are required to expand

their business products and for development of new products they have to invest a significant
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amount as well. Here the ethical implications also come that when they recover the amount

invested in business they must lower the prices of medicine so that people of under developed

countries can also afford it. But they do not focus on it and enjoy the monopoly (archive.org, 2017).

This course taught us that how to implement ethical standards while dealing with such cases. How

to bridge the gap between high prices drugs and affordability of consumer in an ethical way that

fulfills needs of company and consumer both.

The best part of this documentary that is most convincing to me is that we know that

research and development in the field of medicine are time-consuming as well as investment

intensive matter that requires billions of dollars. But here the role of government is most important,

and I am glad that they are successful playing their role through prize incentive programs where

they appraise and finance those companies which comes up with new vaccines for the treatment

of disease and invent new drugs. It gives a golden opportunity to the companies to invest in

research and developments.

The least convincing argument of this documentary is that pharmaceutical companies are

interested in lifestyle products as compare to disease treating products that is the core need to

patients and due to no research and development in this field many people are dying. But it is a

sad fact that they are investing millions of dollars in hair treatment and skin care products as

compare to others.

The most convincing point that stands out for me is a patent system that helps those

companies who invest in research and development and from their billion-dollar investment they

introduce new drugs. Now with the introduction of these new drugs they can enjoy patent rights

by enjoying high prices that are charged on it.

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References

archive.org. (2017, 01 3). Big Pharma: Market Failure. Retrieved from archive.org:

https://archive.org/details/dom-10698-1-big-pharma-market-failure

Marko, T. (2018, 01 01). BIG PHARMA - Market Failure (FB-Trailer). Retrieved from

vimeo.com: https://vimeo.com/211750064