Global Economy V/S GD

Global Economic Crises has affected the Sale of Generic Drugs throughout the world in last 6 months. Markets all over the world are down, and the financial crises are hitting the markets badly. Every company in the world is suffering loses due to the economic crises. Same economic crises were observed in the market at the time of First World War and Second World War. There is no war going on but due to the sudden rise and sudden decline in the financial markets, everybody is suffering loses. Developed countries are facing maximum loses in comparison to the developing and non-developed countries. The stock market has reached the lowest point and the investors have suffered loses of their lifetime.

The sale of generic drugs is found to be decreased in the pharmacy markets of United States. The decrease in the sales is not only observed in the generic drugs but also in the branded drug. It has been observed that sale of generic drugs is going down in United States by 32%. Many generic drugs industries are suffering loses and are planning to get closed or sell their manufacturing units to some pharma giants. This could help these small companies to recover loses. Big companies are even in problem because of decrease in sale of generic drugs. China, the largest exporter of generic drugs has closed its 15 manufacturing units of generic drugs to combat loses in the market. According to the survey, customers are purchasing 5 tablets if doctor has prescribed them the 10 tablets. This gave us the clear idea that even customer is facing the economic problems.

In the European markets, generic drug manufacturers have suffered the maximum loses because of the sudden decrease in the number of prescriptions. Customers are asking the doctors to prescribe the cheap medicines and that also in the least required amount. This has affected the sales of generic drug on large scale. According to the pharmacist, 45% decrease is observed in the sale of generic drugs, whereas branded drugs have also suffered loses by the 57%. In Europe the condition of generic drug manufacturer is very bad as they need to sell their manufacturing units to other companies to make up with loses. Many companies are selling the generic drugs at very low cost so that they can at least get the money they have invested. In Asia the condition of generic drug market is better than the American and European markets. Here, loses suffered by the manufacturing companies is only 12%.

The main cause for the financial crises is the high oil prices that finally lead to the increase in the cost of food prices and global inflation. These economic crises finally bankrupted the large banks. Thus, the economic crises spread all over the world. Due to this unemployment increased and then the aggression started rising. Many companies even cut down their staff, and some companies reduced the salaries of the employees. Some companies even closed down their offices without any notice to the employees. Similarly the generic drug manufacturers also have to close their manufacturing units to save their money.

Here, are some solutions to cut down the economic crises in generic drugs market:

1. Produce less number of generic drugs, so that only those that is possible to be sold.

2. Avoid the production of extra commodities.

3. Try to make your manufacturing process cheaper.

4. Keep the rates of drugs very low, so that you can at least earn the cost of production.

5. Cut all the unnecessary investments.

Follow these simple steps and stay away from the economic crises.