4 ms·
The claim of losing money is almost certainly a lie. The marginal cost of a drug like this is usually almost nothing. The manufacturing costs tend to be small,
by bedhead 11y ago
The claim of losing money is almost certainly a lie. The marginal cost of a drug like this is usually almost nothing. The manufacturing costs tend to be small, and something like this doesn't need a sales force.
Meanwhile, Questcor and Mallinkodt were/are the poster children for abrupt and unwarranted drug price hikes by orders of magnitude. They are bad actors in an industry where scheming - both legal and otherwise - is so common that no one thinks twice.
- vonmoltke 11y ago> The claim of losing money is almost certainly a lie. The marginal cost of a drug like this is usually almost nothing. Spoken like someone who has never worked on low-volume production before. Fixed costs that amortize to trivial amounts when producing a few million or billion doses a year get significant when amortized across a few thousand. I don't buy the article's unsourced assertion that the medication only costs $230/dose to make. Assuming 4,000 doses/year (800 patients * 5 doses/patient [$23,000/dose / "over $100,000 per infant"]), that's a production cost of only $920,000. The cost of regulatory compliance alone is probably greater than that.