Comment on the recent ban on entry of several generic drugs manufactured by Indian pharmaceutical companies into the US market. What ethical issues may be involved in similar other cases?
CS Professional · International Business – Laws and Practices · PYQS · June 2016
Comment on the recent ban on entry of several generic drugs manufactured by Indian pharmaceutical companies into the US market. What ethical issues may be involved in similar other cases?
Answer & Explanation:
There are so many causes behind the regular ban on the entry of several generic drugs manufactured by Indian Manufacturers. Earlier Ranbaxy had experienced the same issue. More recently, Dr. Reddy and Sun Pharmacy are on the US radar of scanning. The U.S. government has made it mandatory for Active Pharmaceutical Ingredients (APIs) to be manufactured locally. The US Food and Drug Administration, has made it compulsory to the manufactures to provide information about facilities, processes, or articles used in the manufacturing, processing, packaging, and storing of one or more human drugs. Some companies are cited for manipulating lab tests, as well as unjustified and unrecorded deviations from written lab mechanisms. Further, scandals and bankruptcies in the US at companies like Enron and WorldCom Inc. have focused attention on the abuse of the power entrusted to executives by shareholders, employees and customers and they underscore the need for reforms to bolster business ethics. In addition, corruption is not inherent to any society, its reach is global. 15% of all companies in industrialized nations have to pay bribes to win or retain business. Again, ethical issues in business have become more complicated because of the global and diversified nature of many large corporations. Social issue along with environment issue acts as a pro-catalyst in the process of Internationalization. These factors cannot be ignored while discussing on the regular ban of India's Pharmaceutical Products.
Topics: International Business Ethics
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