Manon LEGUILLON
Mylan Case Study
1. What judgement would you make about Mylan? Do they do anything ethically wrong in
their pricing of the EpiPen?
To me, Mylan has made a huge ethical mistake regarding the price of the EpiPen. The ethical
tradition is based on the importance of ethical principles and rights. Mylan's greed and selfishness
caused the company to raise the price of the EpiPen at the expense of consumers. The price of the
EpiPen rose from $60 to more than $600 for two doses between 2007 and 2016, while an EpiPen
costs only a few dollars to manufacture. In 2016, EpiPen sales reached about $1.5 billion. The
massive profit from sales was reflected in the annual salary increase for Mylan's CEO. The latter went
from $2.3 million to $19 million during the same period. The increase only satisfied their self-interest.
Mylan did not make ethical decisions about the price of the EpiPen. Every individual has the right to a
safe and secure life. Everyone should have the same opportunity to access medicines. EpiPen should
not seek financial profit before meeting human needs. We should all be equal when our lives are at
stake.
2. Do you think that a pharmaceutical company should be allowed to charge whatever price
the market will pay for prescription drugs? Should prescription drugs be treated differently
than any other consumer product?
A pharmaceutical company should not be allowed to charge the price that the market is willing to
pay for prescription drugs. If a pharmaceutical company charges more for prescription drugs, a
fundamental principle of fairness and equality is violated. EpiPen is a simple and inexpensive device.
EpiPen costs only a few dollars to manufacture. Mylan has invested heavily in marketing the product,
so the expenses incurred become higher, even though the overall product has not changed
significantly. High drug prices will disproportionately burden the poor and deny them access to
prescription drugs, putting millions of lives at risk.
The government should become more involved in the prescription drug pricing system. Health care
will be of better quality overall if a managed health care system is regulated by public agencies.
Excessive prescription drug prices can be avoided if government regulation is put in place. According
to the US DrugAccountability Office, prescription drug sales and drug company profits have increased
over the same period.
Companies charging more for prescription drugs violates utilitarianism, whose goal is to maximize
the long-term happiness of all sentient beings who are affected by the company's action. Happiness
here means pleasure and freedom from pain.
In my opinion, prescription drugs should be treated differently than any other consumer product.
Prescription drugs need to be regulated by the government because they save the lives of millions of
people and if those people don't have access to them it can cause serious problems. Pharmaceutical
companies should not abuse their political influence to increase their revenues but rather conduct
more research and development to improve their products.
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3. Congressman Duncan used the word ‘greed’ when describing Mylan’sactions. What is the
difference between greed and simply the desire for more money? Is greed always bad?
Why or why not?
Greed is a selfish or excessive desire to obtain more than is necessary, especially money, wealth,
food or other things. It is a desire taken to the extreme. A desire comes from a need, it is something
or someone that you want badly.
This is exactly what Mylan is doing, prioritizing its profit in defiance of ethical principles. Mylan
exploited consumers by raising the price of the EpiPen from $60 to $600 out of greed. The
company's greed to want more and more than is necessary violated basic concepts of ethics.
However, Mylan has used its political influence to create artificial markets by guaranteeing the sale
of EpiPen in schools and institutions to eliminate competition. By creating regulatory standards,
Mylan created a barrier to prevent competitors from entering the local market. Mylan's greed has
hijacked the function of government for its own benefit. The principle-based ethics, the way forward
is guided by certain principles and duties. There are things we should do and things we should not do
regardless of the consequences. Greed is one of them. Indeed, Mylan has sacrificed consumer rights
in order to earn more by raising prices with a 90% market share. The fundamental principle of
fairness and equality has been violated here as well as the fundamental right to health care for all.
Greed has led Mylan to forget its duty to provide EpiPens at a price affordable to all.
