Ezgi Ustaoglu
Mylan is a global healthcare company founded in 1961 in West Virginia in US. It has mostly
generic products in its portfolio distributed in more than 165 countries. In 2016 Mylan reached 10
billion $ net sales. 1 billion $ out of 10 was generated from one product which is EpiPen.
EpiPen is one of the most important lifesaving medicine which treats severe food allergies.
Mylan was started to be questioned last year because of huge price increase Mylan made on EpiPen.
After Mylan took over the rights of EpiPen from Merck in 2007 it increased the price by 500%. EpiPen
price raised from 100 $ to 600 $ in 9 years which became unaffordable for the public. Parents whose
kids have severe food allergy started looking for another solution like using …show more content…
Another attempt that Mylan made
was to offering loyalty cards which consumers can use for discount up to 300 $.
Finally, Mylan announced that they will produce the generic version of EpiPen as soon as
possible which will be sold for 300 $. This was the most expected and good news because Mylan is the
monopole in the market and any other company could launch the generic. This move cooled down the
pressure slightly.
Mylan could manage the crisis by taking the decision of generic product at the beginning of
the problem or by decreasing the price immediately instead of providing more financial support to
some patients. Although the issue is very sensitive since there is death risk in case of not having the
drug, company didn’t address directly to price increase at the beginning therefore reactions got worse.
1. http://fortune.com/2015/09/11/mylan-ceo-heather-bresch/
2. https://www.statnews.com/2016/07/06/epipen-prices-allergies/
3. https://www.statnews.com/pharmalot/2016/08/22/senator-wants-ftc-probe-mylan-epipen/
4.
Mylan is a global healthcare company founded in 1961 in West Virginia in US. It has mostly
generic products in its portfolio distributed in more than 165 countries. In 2016 Mylan reached 10
billion $ net sales. 1 billion $ out of 10 was generated from one product which is EpiPen.
EpiPen is one of the most important lifesaving medicine which treats severe food allergies.
Mylan was started to be questioned last year because of huge price increase Mylan made on EpiPen.
After Mylan took over the rights of EpiPen from Merck in 2007 it increased the price by 500%. EpiPen
price raised from 100 $ to 600 $ in 9 years which became unaffordable for the public. Parents whose
kids have severe food allergy started looking for another solution like using …show more content…
Another attempt that Mylan made
was to offering loyalty cards which consumers can use for discount up to 300 $.
Finally, Mylan announced that they will produce the generic version of EpiPen as soon as
possible which will be sold for 300 $. This was the most expected and good news because Mylan is the
monopole in the market and any other company could launch the generic. This move cooled down the
pressure slightly.
Mylan could manage the crisis by taking the decision of generic product at the beginning of
the problem or by decreasing the price immediately instead of providing more financial support to
some patients. Although the issue is very sensitive since there is death risk in case of not having the
drug, company didn’t address directly to price increase at the beginning therefore reactions got worse.
1. http://fortune.com/2015/09/11/mylan-ceo-heather-bresch/
2. https://www.statnews.com/2016/07/06/epipen-prices-allergies/
3. https://www.statnews.com/pharmalot/2016/08/22/senator-wants-ftc-probe-mylan-epipen/
4.