Disease Dilemma's - Case Study - GSK - One pharmaceutical transnational corporation

Question 1

Who is GSK? Where is it HQ? How many R&D centres does it have and where? (3)

Answer 1

1) GlaxoSmithKline (GSK).

2) HQ = U.K.

3) 5 R&D centres in UK, USA, Spain, Belgium & China

Question 2

What area does GSK dominate in terms of the pharmaceutical business? How many doses made a year and where sent to? (2)

Answer 2

1) Vaccine business

2) 800 million doses / 80% sent to developing world

Question 3

Name 3 patented drugs made by GSK and what are they for (3)

Answer 3

1) Amoxicillin = bacterial infections.

2) Zidovudine = HIV infection.

3) Bendazole = parasitic infections

Question 4

How many people does GSK employ in R&D? How much does it spend researching medicines? What key treatments are they currently looking into? (3)

Answer 4

1) 13,000 people.

2) £3 billion a year

3) Treatments for HIV, Malaria & TB

Question 5

What are major difficulties for companies like GSK? (2)

Answer 5

1) Developing drugs takes a long time and costs a lot/subject to repeated failures.

2). Drugs urgently needed in LIDCS for major diseases but GSK would not recoup development costs if focussed on selling to these countries

Question 6

What ethical approach has GSK taken to supplying drugs to the developing world? (5)

Answer 6

1) Providing HIV/AIDS drug at discount

2) Allowing it patented drugs to be licensed and manufactured as cheaper versions

3). Capping the price on patented drugs to LIDCS (25% of cost of the normal UK price).

4) Investing 20% profits from sales into the countries health infrastructure that they are selling too.

5) Commitment to small profits from products - only 5% when selling to dev. World