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To save others the Googling: SG&A = Selling, General and Administrative Expenses. I'm not sure that you disagree with me. The higher the price the higher the
by pravda 8y ago
To save others the Googling: SG&A = Selling, General and Administrative Expenses.
I'm not sure that you disagree with me. The higher the price the higher the returns, but price too high and you earn less money, because volume is not fixed. (I'd bet a lot less Viagra would be sold if it cost $500 per pill.)
That was the genius of Martin S. He felt, correctly, that Daraprim was mispriced. That's why the price per pill was raised to $750 from $13.50.
- JAlexoid 8y agoI wrote on this above. As an investor in Gilead and a Truvada user, I really hate the fact that Gilead isn't making Truvada an effective vitamin for most of EU. It's an HIV infection prevention drug. It's priced for margin maximization at ~$1600 for 30 pills. I bet most EU countries could get on board with €20-€30 per month and have 10% of the population be on it. And EU has very low administrative costs, as many countries buy centrally. I consider Martin to be a scumbag, but not much more than your average human being. He's a scapegoat, to the industry that would prefer a flashy Martin to scrutiny of their own actions. He should be free, as his conviction was a witch-hunt.
- airstrike 8y agoVolume is pretty much fixed for all health related drugs, particularly since your health insurance will foot the bill most of the time. As a patient, you don't care if the drug costs $100 or $1,000 to the insurance company – you want the best treatment available. Viagra is a different ball of wax since you not taking it will never reduce how many years you'll live.