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Changing The Subject (Part 1): Stop Trying To “Win” The Drug Pricing Debate

 
• By Michael McCaughan

When it comes to pricing, it is worth remembering that the interests of buyers and sellers can never be truly aligned. So rather than trying to “win” the drug pricing debate, the pharmaceutical industry may be better served by steering it into new areas. We plan to propose some big ideas that might work in that direction.

A pollster who does some work for biopharma companies shared an insight that seems blazingly obvious when you think about: pharmaceutical companies can’t “win” the drug pricing debate. When it comes to prices, the interests of manufacturers are, in fact, diametrically opposed to those of consumers and their agents (insurers, public and private).

You can justify pricing with arguments about the cost of research and development, you can tie a price to value,...

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