While many marketing educators, who teach a principles course, do not discuss pricing until later in a term, the impact of pricing decisions can also be addressed earlier to demonstrate potential external forces that affect certain marketing decisions. A good example can be seen with what is happening with the pharmaceutical company, Mylan, and their pricing of the EpiPen product. Over that last few days, the company has been hammered with accusations of price gouging as they raised the price by over 450% in last nine years.
According to this story from Time, the intense reaction has now lead Mylan’s marketing people to offer special discounts to certain customer groups, including customers who experience high out-of-pocket drug expenses. Whether or not this move will dampen the criticism remains to be seen. But, as a topic for a marketing discussion, it should elicit strong opinions.
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