Mark is a professional pharmacist and a skilled community health worker in Maryland who also provides healthcare services at local clinics and pharmaceutical companies. He has vast experience in pricing and providing suitable healthcare costs to patients in various hospitals. He has participated in pricing programs that seek to deliver drugs and healthcare products depending on market characteristics. Mark informed me that healthcare pricing is crucial for providing cost-effective and value-dependent items to the markets.
As a professional pharmacist, Mark plays a crucial role in collecting information concerning consumer behaviour. He participates in comparing the effectiveness of a particular drug with other drug options to identify the one that is most needful for handling a given illness. He reports that it is essential to inform the manufacturers of the demand for a particular drug to help improve innovation. Innovative companies contribute immensely to drug pricing because of the need to consider value-based pricing in the healthcare industry. The pricing techniques ensure that the drug remains relevant in the market and that other medications do not eliminate it from the market because of its ineffectiveness in handling key medication issues. The clinical value of the drug and the benefit to the overall healthcare system are essential factors that pharmaceutical companies must consider to promote drug coverage and determine its cost in competitive markets. Access and demand for the drug are significant factors that the organization finds before setting the price for the pharmaceutical and advancing the marketing interventions meant to publicize its value.
Mark reported that pricing strategies for various drugs consider the overall healthcare burden to the government and the insurance companies that pay for the drugs. They must convince healthcare professionals of the need to pay for a particular drug because of its value, demand, and competitiveness in terms of clinical benefit. Access to the pharmaceutical and overall healthcare is also crucial in pricing the drug as more people can reach the drug in their localities, understand its essence in treating dreadful illnesses in a region, and provide helpful information to the food and drug administration that manages the cost of a given drug based on safety and efficacy.
Before making crucial decisions concerning the cost of a particular drug, pharmaceutical companies have to consider the drug’s characteristics, competitive aspects, and patient demands. Product characteristics are vital in determining the role of the medicine in treating various illnesses and the overall clinical value. Competitive dynamics determine if the drug would be physicians’ recommendation to most patients depending on the availability of competing drugs. The drug components should provide reliable service and treatment value that surpasses the effect of other medications (Getzen, 2013). The patient needs to depend on the level of illness in the region and the possible demand for the drug because of its value in handling critical conditions in a particular area. It is, therefore, essential to ensure that the drugs are not eliminated from the market because of irrelevance.
The strategies that help determine the continued marketing of a drug includes a financial risk-based assessment that determines the pricing and continued marketing of medicine depending on the drug’s performance. Healthcare personnel collect data during clinical trials to help identify issues related to patient outcomes because of the drug (Getzen, 2013). The competition for the drug also determines its marketing as there is a need for more consumers to have detailed knowledge about the value of a given drug in comparison with the available options offering similar clinical value.
References
Getzen, T. E. (2013). Health economics and financing (5th ed.). John Wiley & Sons.
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