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The opening case explores four large pharmaceutical companies and their role in the rising costs of healthcare particularly in the United States. The four companies, Pfizer, Novartis, Bayer, and GlaxoSmithKline, all date back to the mid-1800s and have annual revenues of at least $39 billion and assets of at least $77 billion. Taken together, the four companies employ around 400,000 people and serve customers in 195 countries. Discussion of the case can begin with the following questions:
Questions:
- Why have companies like Pfizer, Novartis, Bayer, and GlaxoSmithKline recently come under so much fire in the United States? Why are prescription drug prices so high?
- Should Americans be worried about the cost of healthcare in the United States as compared to other countries? How does level of care influence those prices? What are the long-term implications if healthcare costs in the United States cannot be contained?
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