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With a patent on drug Z27, why would Able Drug Company charge customers $7 per 100 units even though its cost of producing 100 units is less than that?
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1 vote
With a patent on drug Z27, why would Able Drug Company charge customers $7 per 100 units even though its cost of producing 100 units is less than that?

User Matt Peng
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2 Answers

4 votes
The Able Drug Company does that to make a beneficial profit, because if they sold it for what it was worth then they would not make any money.
User Titas
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8.2k points
3 votes
They know people buying these products over and over again are addicted, and need it to stay normal so they are willing to pay higher and higher until eventually they can't pay for it anymore.
User Schalkneethling
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8.7k points
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