Chapter 2: Why Illegal and Questionable Pharmaceutical Marketing Practices Hurt Stakeholders

Utilizing part of the framework of the traditional four “Ps” of the marketing mix—namely, product, placement, promotion, and price—the purpose of this chapter is to examine how a select portion of contemporary pharmaceutical marketing practices affect the industry’s stakeholders, and how some of these practices have had a disproportionately adverse impact on them. U.S. health care leaders actively must work to ensure more affordable and effective health care for its citizens and one method for doing so is the elimination of wasteful spending. Thus, this review examines the utility and cost effectiveness of a select portion of marketing tactics practiced within the U.S. pharmaceuticals industry, and determines whether the continued use of these tactics are helpful or harmful to the improvement of health care financing and delivery outcomes.

This work was developed from an examination of secondary data and a select review of scholarly and trade press literature. While it is acknowledged that secondary data has limitations, it serves as the basis from which future exploratory studies can be designed and conducted.