The Growing Divide Between Big Pharma and Washington

2/19/2020

For the longest time, the pharmaceutical industry has had a virtually impenetrable grip on Washington policy makers. Through its enormous lobbying resources, it was capable of shutting down almost any legislation that ran counter to its interests. This unrivaled influence over Washington, however, is slowly wearing away - policy makers in both parties have begun to express an interest in regulating drug prices and are putting forward new proposals towards that end. These proposals are being fought head on by pharmaceutical lobbyists, however, who retain a strong presence in Washington and are out in force to crush this opposition. Nonetheless, the growing concerns among voters about rising drug prices and the resulting pressure Congress members are facing among their constituents is driving a wedge between Washington and the pharmaceutical industry, one that will continue to grow if drug prices continue to go unregulated. In the coming future, pharmaceutical companies may have to take a softer approach to influencing policy if they wish to have their interests protected. 

The lesson that can be taken from this is common to many industries. The impact the government can have on how a business operates is immense, and a business that fails to recognize this may risk running afoul of the law. Moreover, a business that can make its interests heard in the government stands a greater chance of not only reacting to an ever changing political landscape, but effecting changes that are advantageous to its goals. The case of the pharmaceutical industry shows, however, the dangers of taking this too far: an enormous amount of resources having to be put in to maintain an increasingly untenable position, widespread consumer mistrust, and a marred reputation that is almost synonymous with the dangers of cutthroat capitalism. 

Article and Image Source:

https://www.wsj.com/articles/how-the-drug-lobby-lost-its-mojo-in-washington-11582132499?
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