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Unfortunately it seems that the media, and many commenters only talk about the marginal profit and ignore all those fixed costs. What's more, is that Mylan's c
by CamelCaseName 10y ago
Unfortunately it seems that the media, and many commenters only talk about the marginal profit and ignore all those fixed costs.
What's more, is that Mylan's costs would probably be much higher if they had to contact every school or district individually and sell them on this rather than show them legislation, meaning either a reduction in their gross margin (which is not huge) or an even further increase in prices.
And of course (gross) profit margins don't take the risk of failure into account.