CSR Issues In Pharmaceutical Industry
Some Good Examples:
GSK:
- Research-based pharmaceutical company;
- Initiatives are primarily focused towards women, children and the aged;
- Their initiatives are directed in the areas of Health, Education and Livelihood;
- The organization facilitates in educating masses on good practices of healthy living.
Ethical issues concerning the relationships between medical practitioners and the pharmaceutical industry:
- Interest might overlap and sometimes lead to conflict;
- Associations between industry and doctors influence the behaviour in relation to both clinical decision making and the conduct of research;
- Doctors must exercise care in their dealings with industry;
- Openness and transparency;
- Clearly articulated procedures.
Industry Overview...
5 CSR Dimensions
Stakeholder:
- Pharmaceutical companies may deal in generic or brand medications and medical devices.
- The global pharmaceuticals market is worth US$300 billion a year....
- 10 largest drugs companies control over one-third of this market.
- Companies currently spend one-third of all sales revenue on marketing their products.
Best Pharmaceutical Industries:
Economic Challenges:
- The economic downturn that we're currently in has brought a number of challenges for the pharmaceutical industry;
- The generics sector of the pharmaceutical industry is set to grow at a faster rate than the overall market.
Environmental-
- Pharmaceuticals and Personal Care Products as Pollutants (PPCPs) refers to any product used by individuals for personal health or used by agribusiness to enhance growth or health of livestock.
- Certain drugs may cause ecological harm
Social -
- It includes cultural change, health problem, population growth rate etc. Social factors affect the demand of a company's products and how it operates.
- company cost of health increase;
- decline the company business competitive power
- insurance funding system' can offer the latest innovation
Voluntary:
- Guided by the CMA Policy;
- No sanctions for non-compliance;
- For Ex: US, laws are stringent & broken antitrust legislation.