Question
The objective of a publicly traded company is to make profit for its owners i.e. shareholders. However, there are millions of AIDS victims in this
The objective of a publicly traded company is to make profit for its owners i.e. shareholders. However, there are millions of AIDS victims in this world. Most of these victims are from destitute countries, like African nations. It would be irrational for us to think that these people could afford this medicine at an existing market price. The world organizations, such as WHO (world health organization), provide with assistance by subsidizing AIDS related medicine. However, this is not enough as many people are dying every day. Many argue that this medicine should be free as it is the only way a victim's life could be prolonged or saved.
GlaxcoSmithKlinealready allows license for generic drug production to countries, like South Africa.
Should our government be involved in controlling the price of this drug? Or, should the government forceGlaxcoto share the key knowledge of this product with its competitors (price becomes competitive)? Explain why or why not?
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