Report Finds Drugmakers Spending More on Marketing and Shareholder Payments Than on Research
Wednesday, 8 May 2024, 20:51
Drugmakers Prioritize Shareholder Payments Over R&D
A new report from Accountable US revealed that major drugmakers allocated more funds towards marketing and shareholder payments than research and development. Among the analyzed companies, the focus on administrative and marketing expenses surpassed investments in drug development, raising questions about resource allocation choices.
Discrepancy in Spending Patterns
- Johnson & Johnson, Bristol Myers Squibb, Novartis, and Novo Nordisk prioritized shareholder payments over research funding.
- Most companies spent more on administrative and marketing costs than on R&D.
- Merck stood out by emphasizing research and development ahead of other expenditures.
The report urged for more transparency in the pharmaceutical industry's pricing strategies, especially in light of record profits and lobbying activities.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.