Tag: cost of goods sold
Manufacturing Cost Analysis: Why Generic Drugs Are So Much Cheaper
- Date: 8 Jan 2026
- Categories:
- Author: David Griffiths
Generic drugs cost far less than brand-name versions because they avoid expensive R&D, rely on economies of scale, and operate under intense competition. This is why they make up 90% of U.S. prescriptions but only 16% of drug spending.
