Pharmaceuticalindustry is a profitable industry and is running form a billion-dollar to a trillion-dollarindustry. On a global scale, the pharmaceutical market revenue has crossed onetrillion USD in 2014 for the first time and still counting (Statista, 2017). North America is responsible for thelargest portion of these revenues (Statista, 2017). The chinesepharmaceutical sector has shown highest growth rates over previous years.Different pharmaceutical companies have different revenue growth for every year.
Pharmaceutical industry is under constant scrutiny regarding the way itoperates (Pharmiweb, 2005). TheUnited States (U.S.) market, which captures 43% of worldwide pharmaceuticalsales, is the world’s largest market for pharmaceuticals, and is expected toencounter a growth of 8–9% in 2006 (Health, 2005). The largest pharmaceutical market after theUS is the UK. Accordingto the Association of the British Pharmaceutical Industry, Britain’spharmaceutical industry brought in a trade surplus of £ 3.
6 billion in 2004,and after the U.S., the market share of pharmaceutical companies in Britainamounted to more than all its European competitors combined.Medicinesproduced by the pharmaceutical companies are a key part of the delivery of aneffective health service. The pharma marketing activities in recent days areincreasing more on television as direct to consumer drug advertisements. Theseadvertisements are creating a harm to the society directly and indirectly. Thebest way to comply with CSR is to provide correct information about the drugsand not to promote prescription drugs direct to the customers.
But, In theUnited States, the advertising of prescription drugs on television is legal andthis became a positive move for the pharmaceutical companies. Most of the drugadvertisements are misleading and resulting in patients forcing the physiciansto prescribe the drug which they have seen on the television ad. As the CSR hasgrown in importance in recent years, there is a decline in companies raisingtheir profiles among the public in regard to the concept of CSR. CSR in pharma isdifferent than other industries and the public has quite different ideas aboutthe moral necessity of pharma’s CSR obligation. The concept that medicine maybe beyond a simple commodity has gained traction in business and public circles.This is because medicine saves lives and is a necessity, not a want.