Research Summary
Research Summary
Putting Patients First: Marketing Strategies for Treating HIV in Developing Nations
Description
It is more than mere coincidence that the highest rates of HIV occur in the world’s poorest countries. Of the over 40 million people currently living with HIV, 95 percent are in the developing world. The first half of this paper explores the economics of HIV and treatment, proposing a consumer centric marketing paradigm for addressing the disease. The second half of the paper discusses three specific cases in which antiretroviral drugs have been successfully distributed to poor patients in Africa, Asia, and South America. The focal organizations all identify patient needs first, then work backwards to develop economically viable solutions. First, we show how early missteps in South Africa are being ameliorated by a new dedication of public support and by the collaborative expertise of South African generic drug manufacturer Aspen Pharmacare. We then describe the role of a small Indian pharmaceutical company, Cipla, in bringing down the annual per-patient cost of an ARV triple cocktail from $10,000 to under $250. Looking through the lens of Cipla’s leaders, we discuss the role of communications campaigns, operational synergies, alternative distribution channels, and innovative product and program policies. Finally, we look at how the Brazilian National AIDS Program, by using drug development as a key component of its prevention and treatment strategy, has managed to reduce HIV mortality and demand for hospital services by more than 50 percent in Sao Paolo and Rio de Janeiro, preventing millions of deaths and saving the government nearly $4 billion US dollars. These solutions are not without flaws, and the future of these programs remains uncertain, but we hope that illuminating these particular situations will shed light on ways in which other firms may be able to serve the poor profitably.