Drug Cost Is Very High Even If The Patient Chooses To A

Imagine this: you are tragically diagnosed with a chronic life-threatening illness. Your only hope to survive is through medication to treat your disorder. The medicine is pricy but you can work out the costs each month. One day, you go to fill your prescriptions and realize the cost of a $13 pill has jumped to an astounding $750. You need this patented medication to survive and to afford it you end up losing your home, filing for bankruptcy, and sleeping in your car. This story sounds fictional but it is the reality for many Americans who can no longer afford their grossly overpriced medications.

Corporate governance is a set of actions used to handle the relationship between stakeholders by determining and controlling the strategic direction and performance of the organization. Corporate governance major concern is making sure that the strategic decisions are effective and that it paves the way towards strategic competitiveness. (Hitt, Ireland, Hoskisson, 2017, p. 310). In today’s corporation, the primary objective of corporate governance is to align top-level manager’s and stakeholders interest. That is why corporate governance is involved when there is a conflict of interest between with the owners, managers, and members of the board of directors (Hitt, Ireland, Hoskisson, 2017, p. 310-311).

Common stockholders are the basic owners of a corporation, but few stockholders of large corporations take an active role in management. Instead, they elect the corporation’s board of directors to represent their interests. Board members seldom get involved in the day-to-day management of the company. They establish the basic mission and goals of the corporation and appoint

Managers and shareholders are the utmost contributors of these conflicts, hence affecting the entire structural organization of a company, its managerial system and eventually to the company's societal responsibility. A corporation is well organized with stipulated division of responsibilities among the arms of the organizational structure, shareholders, directors, managers and corporate officers. However, conflicts between managers in most firms and shareholders have brought about agency problems. Shares and their trade have seen many companies rise to big investments. Shareholders keep the companies running

According to a study, researchers estimated that the total extra cost to government of providing universal pharmacare could range as high as $5.4 billion a year (11). However, through bulk purchases of medication and other measures, this could be reduced to $1 billion (11). In addition, it is possible that people will misuse or overuse medication if it is easily accessible. However, it is suggested that healthy individuals have no intrinsic value in consuming additional prescription drugs, and studies show little evidence to suggest that excess coverage of prescription drug costs is the root cause of these problems (6).

In large corporations the success or failure of the company is the responsibility of the board of directors. According to Richard DeGeorge, “The members of the board are responsible to the shareholders for the selection of honest, effective managers, and especially for the selection for the CEO and of the president of the corporation.” (p. 202). The board members have a moral responsibility to ensure the corporation is run honestly, in respect to its major policies, and to ensure the interests of the shareholders are satisfied. The next responsibility within a corporation is the responsibility management has to its board of directors. DeGeorge writes, “It must inform the board of its actions, the decisions it makes or the decisions to be made, the financial condition of the firm, its successes and failures, and the like.” (p. 202). The management of the corporation is morally obligated to

In addition, without access to these life changing drugs, some individuals are not able to make positive contributions to the economy. Looking at the issue of drug pricing from this perspective, more expensive drug will reduce economic productivity in the United States by eliminating some of the workforce. Drug pricing has a significant effect on my future career in the healthcare field. Patients having access to more affordable medications will allow for a healthy population and increased treatment options. While Ocrevus is significantly cheaper than the current multiple sclerosis drug options, it is still quite

Here's a look at what I believe more people need to know about the Mexican Drug War and Cartel. The Mexican drug cartels have been like a disease spreading like a wild fire all over Mexico over the years. The Mexican government has been fighting a war with drug traffickers for a long time. Also, drug cartels have been fighting with each other for control of territories in Mexico. Over 60,000 people have been killed from 2006 to 2012, according to Human Rights Watch. Many people have been robbed, tortured, kidnapped, injured, and murdered through out the domestic drug war that is going on in Mexico. Officials have dispatched thousands of troops and experienced police officers to contain the “self-defense” groups in the towns of Mexico. These people claim that they are simply filling a void left by incompetent or corrupt officials in their government. Many of the people taking on these gangs that control their parts of the region say they do not care much about the illegal drug trades going on around them. These cartels have been supplying the United States and Mexican people for decades. All these town people want is for the criminals to leave the regular residents of their towns in peace.

Without the shareholders there would be very low financial statuses and they would not be able to fund their reputation. They have high power in making final decisions and are most important to influence, when looking at corporate governance.

In meeting the needs of shareholders versus those of stakeholders many ethical issues can potentially arise. Many of these challenges involve the corporation's roles, duties, and obligations to various stakeholder groups. For example, should a company provide a premium work environment for its employees who have suffered numerous injuries when the cost of doing so far outweighs the benefits? Should a company pay to replace or recall a defect in a car, or simply pay the legal fees that the defect will undoubtedly cause? In regards to shareholders, management may provide an overly optimistic view of business operations. This could mislead individuals to invest in a company such as GM, when it is on the verge of bankruptcy. First, annual reports are the main culprits of this optimistic approach to business operations. By simply glancing at a copy of Chryslers annual report, a potential investor will be inundated with pictures of overly gregarious and jovial individuals (Business, 2011). These pictures often influence investor's mindsets by seeming cheerful and inviting, which in reality is a trap. The letter to shareholders is another opportunity for management to use their marketing prowess instead of their financial acumen. Again, these letters in some circumstances depict an overly optimistic tone which may not accurately reflect the underlying business characteristics of the company. This is unethical as it guides

Pharmaceutical companies are one of the fastest growing businesses in the United States, because individuals want to be healthy and live longer. In order to stay healthy, individuals are more likely to have multiple prescriptions or over-the-counter medication, especially the elderly. Every month, about half of the population of Americans take different forms of medication such as, vitamins, birth control or antibiotics. These different forms of medication help millions of people in different ways and save lives. The article, “High drug prices,” states that the “U.S. now spends approximately 15.0 percent of its GDP on health care” (Okunade). The prescription drug cost is one of the major concerns in the United States because of the fluctuating prices. Another article stated, “The challenge here is that drug prices are growing astronomically and becoming not only unaffordable to health-care system, but to consumers as well” (Mangan). The cost of medication is not only a burden on the government, but also to individuals that have various medications, and especially those who pay out of pocket cost. There are different reasons to explain the increase in prescription drug cost; the high demand for medication due to the baby boomers, patent protection on most drugs, the use of drugs instead utilizing preventive measures.

The principals (the shareholders) have to find ways of ensuring that their agents (the managers) act in their interests.

People from the well-off family get the services from many private hospitals and clinics. The poor people have no alternative when they get sick. They usually rush to the government hospitals. The services rendered by the government hospitals are far away from the rural poor of Bangladesh. They cannot avail the services from the hospitals for the corruption of health sectors. Most of the medicine and other services goes at the hand of a specific group of people with the help of the doctors, nurses and staff, of the hospital. Even the poor patient cannot afford the beds in the hospitals for their corruption. Patients don’t get proper advice and service from the doctors. Doctors are more sincere in their private practice. They prescribe the poor patient a high cost medicine produced by a specific company and advice unnecessary test from selected pathology test centers.

“Companies are taking advantage of a mix of laws that force insurers to include essentially all expensive drugs in their policies, and a philosophy that demands that every new health care product be available to everyone, no matter how little it helps or how much it costs.” Peter B. Bach.

Corporate governance is set of predetermined procedures and guidelines that the corporation should consider for creating effective and trusted corporation for the shareholders’ (financiers, customers, management, employees, government, and community) point of view. Shareholders are the individuals who have invested money into a business and expect a significant return on their capital. The main focus of corporate governance is to maximize the wealth of shareholders on long term basis. Improvement of corporate governance can be possible by including other stakeholder representatives on its board of directors. Stakeholders could act in a way that the company can be more responsible to the society at large in addition to maximizing earnings.