the root cause of shortages of low-cost, off-patent generic drugs is well established. These drugs have razor-thin to non-existent profit margins, driven by middle managers who have, in recent years, pushed down wholesale prices to rock-bottom levels. In some cases, generic manufacturers lose money on the drugs, disincentivizing other players in the pharmaceutical industry from stepping in to bolster fragile supply chains. Several generic manufacturers have filed for bankruptcy recently.
Reading between the lines here, someone is fucking with the market on purpose. Drop the prices so low the competition goes out of business trying to keep up, then jack up the prices to make it all back multiple times over. Businesses don’t drop the price of products for no reason.
Well no, but if you’re engaged in some drug-fueled (heh) 4d chess with the competition vying for the lowest price, a global disruption to the supply chain is going to play merry hell with whatever passes for well-laid plans in corporate management these days.
Reading between the lines here, someone is fucking with the market on purpose. Drop the prices so low the competition goes out of business trying to keep up, then jack up the prices to make it all back multiple times over. Businesses don’t drop the price of products for no reason.
Well no, but if you’re engaged in some drug-fueled (heh) 4d chess with the competition vying for the lowest price, a global disruption to the supply chain is going to play merry hell with whatever passes for well-laid plans in corporate management these days.