Saturday, January 12, 2008

Drug Co.’s Spend More on Ads Than R&D

A recent study has shown that US drug companies spend almost twice as much on advertising as on research and development. The authors of the study say this confirms “the public image of a marketing-driven industry.” While Canadian companies spend less on advertising than their US counterparts, they still spend little on research, so the ratio is roughly the same. This is one of the big reason for the high cost of prescription drugs.