By Cédric Julien Poget
Parallel alternate happens if overseas cost variations for exact items are excessive and a coverage of nearby or foreign exhaustion of the respective estate correct has been carried out within the excessive expense state. The paintings via C. Poget analyses how parallel imports of prescribed drugs are affecting finish client costs and drug expenses in 3 Scandinavian nations, Sweden, Denmark and Norway. in response to his observations he derives proposals for coverage reforms in ecu member international locations and Switzerland.
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Extra resources for Parallel Imports of Pharmaceuticals: Evidence from Scandinavia and Policy Proposals for Switzerland
Sample text
Providing availability, pharmacists were therefore requested to dispense the parallel imported “Nexium Orifarm” or “Nexium 2care4”. 7 (Pharmacy Distribution Price). 6% below the locally sourced product. 59. 35. 24. 48 it is, financially speaking, more attractive for the pharmacists to buy the parallel traded drug. The pharmacists will buy from the parallel trader who offers the highest discount. 1. We summarize that a pharmacist will always buy and dispense the lowest priced of all interchangeable products which are currently available (locally sourced or parallel traded brand or generic).
Wholesaler mark-ups have more than doubled since 2001. Pharmacy mark-ups have risen too, though to a smaller extent. Wholesalers have therefore been able to increase their share on the overall distribution mark-up. Interviews with industry representatives19 suggest that 19 Erik A. 5 Parallel trade in Norway an empirical view 15 wholesalers are now more successful in retaining price reductions they have received from their suppliers. The questions of course are: why have wholesaler margins grown and why are they able to shift these savings around the system, despite the competition on the wholesaler market?
The general practitioners compensation model has two elements: 1. A per capita payment for every registered patient 2. Fee for service reimbursement for each consultation, with different rates for different types of consultations Fixed per capita payments represent 30%–50% of a physicians’ income. Activity based compensations and co-payments account for the rest27. The combination of capitation and fee for service payments encourages physicians to cure patients themselves, rather than just referring them to clinics.
