By choosing to discontinue some of the drugs companies most predatory marketing practicessuch as paying doctors to prescribe a particular drug, picking up the tab for physicians to attend medical conferences and stop linking compensation for sales representatives to the number of prescriptions written for drugs they marketGlaxo is breaking with established industry convention. These perks are to be phased out across Glaxos global operations by 2016 to bring them in line with the so-called patient-first approach the company claims to follow in America since 2011 as part of an agreement with the department of health. Critics point out that this may merely be an attempt to regain public trust, as Glaxo finds itself in trouble with the Chinese government, which is investigating a bribery scandal, only a little more than a year after it agreed to pay a record $3 billion fine to the US government for marketing and safety issues.
Whatever Glaxos motives, given that the relationship between pharma representatives and medical professionals has a demonstrably ill effect on healthcareit has been found to push up costs and distort the market while also incentivising doctors to prescribe unneeded medicationthe move towards more ethical conduct is welcome. With increased regulatory supervision on payments to physicians, perhaps Glaxos initiative will be contagious, puncturing the drugmakers moustache-twirling images in the bargain.