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PHI 445 Week 3 Assignment Case Analysis, Pharmaceutical

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PHI 445 Week 3 Assignment Case Analysis, Pharmaceutical

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  • March 30, 2022
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Running head: CASE ANALYSIS FOR MERCK PHARMACEUTICALS 1




PHI 445 Week 3 Assignment Case Analysis,

Pharmaceutical




Week 3 Assignment


Case Analysis for Merck Pharmaceuticals


NAME


PHI 445 Personal & Organizational Ethics


Instructor


DATE

, Case Analysis for Merck Pharmaceuticals 2




Introduction


Social Responsibility is defined as “the obligation an organization’s management team

has towards the welfare and interests of the society in which it operates.” (Business Dictionary,

2018) For Merck Pharmaceutical, social responsibility is taken very seriously. Merck

Pharmaceuticals are one of the world’s leading pharmaceutical companies, having discovered

many lifesaving medications. Merck’s objective is to “support policies that promote the

discovery of innovative medicines and vaccines and make these products available to all who

need them.” (Merck, 2018) In this case study Merck has discovered a medication that could

eradicate an entire disease called River Blindness. River blindness affects millions of individuals

in Africa and is caused by a parasite that is transmitted through black flies. The parasite lives in

the skin of the body causing severe itching and eventually moving to the eye, causing scaring

and thus, blindness. Merck discovered that a medication called Mectizan could rid the body of all

parasites with one pill and keep them from infestation for a years’ time. (Annual Review, 2012)

The problem, however, is that the people affected by River Blindness were “the poorest of the

poor” and would not be able to afford to buy this medication. (Annual Review, 2012) This

created a conflict for Merck; were they to remain faithful to their investors and market the

medication even though profits were unlikely, or were they to provide the medication to those

who needed it? Choosing to give the medication away would cost the shareholders money

because there is still cost involved with research and production that would not be recovered

through profits. Choosing to market the medication would still cost just as much, but the

likelihood of the medication being bought was low. Merck founder, George Merck, said “Never

forget, medicine is for the People, not for the profits.” (Merck, 2018) With this philosophy in

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