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Pharmaceutical research and development and the patent system.

James Love1

  • 1james.love@cptech.org

International Journal of Health Services : Planning, Administration, Evaluation
|June 4, 2005
PubMed
Summary

The pharmaceutical industry exaggerates research and development (R&D) spending. Patent incentives prioritize marketing over genuine R&D, corrupting the innovation process.

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Area of Science:

  • Pharmaceutical industry analysis
  • Health economics
  • Innovation studies

Background:

  • Pharmaceutical companies often inflate research and development (R&D) expenditure claims.
  • While billions are spent on R&D, the allocation and focus of this spending are questionable.

Purpose of the Study:

  • To critically examine the pharmaceutical industry's R&D spending and its alignment with genuine innovation.
  • To investigate how patent systems influence R&D priorities and industry practices.

Main Methods:

  • Analysis of R&D expenditure reporting in the pharmaceutical sector.
  • Examination of the impact of patent-based monopolies on research and marketing strategies.

Main Results:

  • The current patent system incentivizes significant investment in marketing activities disguised as research.
  • Innovators gain marketing monopolies, shaping research agendas towards profitable products.

Conclusions:

  • The pharmaceutical R&D system is skewed towards marketing rather than pure research.
  • Marketing objectives increasingly compromise and corrupt the R&D process.

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