Why generic Tenuate cost much less?
On average, most generics are about half the price of the brand-name drug; some generics may cost up to two-thirds less than the brand-name version. There are several reasons why generic pharmaceuticals are almost always much less expensive than their brand-name counterparts. First, there is much less money spent advertising, promoting, marketing, researching and developing the generic version of a drug. Second, the profit margins of generic drugs are considerably less than those of their brand-name equivalents. Third, because there are usually several providers of a given generic, competitive pricing often occurs among different generic versions of the same brand-name product. It should also be pointed out that the initial cost to develop a new drug is extremely high. It might take years for a company to recoup its research and development expenses. Thus, although a patent is issued to protect the investment, the research and development costs are sometimes included even though the pa
