The current COVID pandemic offers an opportunity to change the business models of the pharma industry. Of course costs have to be made, but I wonder how many of these companies work from the same attitude as Alexander Fleming (serve humanity) or with the old fashioned perspective of making lots of money for (yeah, for whom?!).
Could it be possible to establish a non-profit worldwide consortium that stimulates and monitors pharma developments?
Every company that develops a vaccine (or any other medication) will be compensated for all development costs, independent of whether their medication will be produced. These costs will be compensated by the revenues from the company that is able to market the medicine.
This company, of course, gets compensated for the development costs, plus a limited percentage of the total revenue.
The rest of the revenue is thus distributed to companies that developed the same kind of medicine. “Development” stops when a product is accepted for use.
All revenues exceeding the total costs will be put in a fund for innovation or other forms of compensation for development.
To get this operational some paradigms have to change: shareholder value becomes humanity value, transparency of bookkeeping is paramount, trust is to become a living value. All in all, a bit of the Good Old Alexander Fleming Attitude within companies.
Setting up an organisational body would be the least of the problems, I guess.
So, is the industry capable of reinventing itself or is a global governmental legal alignment unavoidable to force these kind of changes? Or are we doomed?
My CSPE question: Why is it so hard to change paradigms in the pharma industry?