What is the purpose of pharmaceutical companies?

A pharmaceutical company, or drug company, is a commercial business licensed to research, develop, market and/or distribute drugs, most commonly in the context of healthcare. They can deal in generic and/or brand medications.

Why pharmaceutical companies acquire other companies?

Traditional reasons for pursuing an acquisition or merger within the pharmaceutical industry have related to the desire to achieve cost synergies and the need to increase market share.

What are the benefits of pharmaceuticals?

Investment in new drugs generates savings throughout the health care system. Increased use of drugs, especially newer agents, has also resulted in increased longevity and reduced disability. Benefits from new pharmaceuticals for outweigh their costs for many key diseases of the elderly.

What’s the difference between a merger and a takeover?

A merger involves the mutual decision of two companies to combine and become one entity; it can be seen as a decision made by two “equals.” A takeover, or acquisition, is usually the purchase of a smaller company by a larger one. It can produce the same benefits as a merger, but it doesn’t have to be a mutual decision.

Why mergers are bad for consumers?

Mergers impact consumers by affecting the level of customer service. For example, a merger of two small real estate companies may lead to the termination of sales positions, lost client relationships and confusion over new commission rates.

Why is medicine so important?

Medicines are chemicals or compounds used to cure, halt, or prevent disease; ease symptoms; or help in the diagnosis of illnesses. Advances in medicines have enabled doctors to cure many diseases and save lives.

Why is medication important?

Taking your medication as prescribed is important to controlling chronic conditions, treating temporary ones and overall health and well-being.

How do Pharmaceuticals work?

All medications are chemicals that, after being ingested, travel to a target or “receptor” in the body where they perform their action. Medicines taken by mouth as pills, tablets, capsules, caplets, powders, or liquids are first swallowed, then travel through the esophagus to the stomach.