Vioxx Recall

Topics: Pharmacology, Food and Drug Administration, Pharmaceutical industry Pages: 8 (2617 words) Published: January 21, 2014
KOLEJ TEKNOLOGI YPC-iTWEB

Merck, the FDA, and the Vioxx Recall
Coursework 1

Business and Society
YPCBM4005B
Miss Rozlina binti Mat Shadid

Student ID
Name
B124001
Ahmad Wahab bin Muklis

LJMU ID: 639986
Table of Contents

1.0 Introduction
Merck, one of the world’s leading pharmaceutical markets, had enjoyed a long reputation as one of drug companies that prioritize ‘ethical and socially responsible’ as their company’s main core values. They once had been recognized as “most admired company” for unbelievably seven successive years by Fortune magazine and also persistently listed as one of best companies to work for. With their flawless and honorable reputation, no wonder Merck ranked fourth in sales, fifth in assets and market values, and first in profits; where they earned $7.33 billion in 2005 (Lawrence, 2006). However, no one would have thought that someday, this company’s stability will be in questioned. That’s what happened in 2004. The company’s best-selling prescription painkiller, Vioxx turned out from a “blockbuster drug” to “blockbuster disaster” when it is believed that it increased the risk of heart attacks and strokes. Consequently, Merck had to deal with many challenges; the plunge in the stock’s price, lawsuits, investigations and others. Until, in September 2004, Merck had to pull Vioxx off the market to focus on taking responsibilities for every trouble they have caused. This report will discuss in summary about what had happened; the behavior of Merck towards risk associated with Vioxx, safety measures that should have been taken, the recall of Vioxx and some recommendations; which all will be explained further later on.

2.0 Socially Responsible and Ethical Manner
This section will focus on the action of Merck; whether they have acted ethical and socially responsible with regard to Vioxx, and these actions will be addressed in terms of drug development and testing, marketing and advertising, relationships with government regulators and policy makers, and the handling of the recall. Also, this section will provide a few suggestions; what could or should Merck have done differently, if anything. George W. Merck, the company’s long-time CEO once said that, “We try never to forget that medicine is for the people, not for the profits. As long as we remembered that, the profits will follow; they never fail to appear”. This statement then decided to be set as their priority and guidance for every of their actions. However, did they really have acted ethical and socially responsible towards this value? No, they’re not. Why? 2.1 Drug Development and Testing

Let’s take a look at the situation first. Back in the old days; before the drug was approved, there are some doubt on the safety of prescribing Vioxx. Although it is still in the early stage, research made by Merck scientist suggests that there are high cardiovascular risks associated with the prescription of Vioxx. This was confirmed as stated in an e-mail by Dr. Alise Reicin (one of the Merck scientists), according to The Wall Street Journal. In the e-mail, she expressed her concerns in the possibility of cardiovascular events prior to prescribing Vioxx. She also had planned to communicate those results to her senior management; however, nothing’s happened. In 2000 (when Vioxx already in market), a research financed by Merck was conducted. This study; code-named VIGOR was designed to study gastrointestinal side effects by comparing it with the effects of taking naproxen (Aleve). The results of VIGOR later suggest that although Vioxx are easier on the stomach compared to naproxen, it also contribute to risks of suffering heart-attacks fives time higher. However, they denied the risks inherent in Vioxx by simply stating that the findings were in favor of the heart-protective effect in naproxen. In 9 March 2000, Dr. Edward Scolnick; the company’s research director finally admitted the presence...

References: i. Ali, K.K. et al. (2008) Business Management: A Malaysian Perspective. Selangor: Oxford Fajar
ii
iii. Edward, B. et al. (2010) Blockbuster Disaster. [Online] Available from: http://mytmc.thomasmore.edu (Accessed on 5 February 2013)
iv
v. Lawrence, A. T. & Weber, J. (2011) Business & Society: Stakeholders, Ethics, Public Policy.13th edition. New York: McGraw-Hill.
vi. Martinez, B. (2004), "Vioxx lawsuits may focus on FDA warning in 2001" The Wall Street Journal, Issues (October), p. B1.
vii. Simmons, J. and Stipp, D. (2004), "Will Merck survive Vioxx?” Fortune Magazine, Issues (Nov), pp. 90-104.
viii. Steiner, J. F. & Steiner, G. A. (2012) Business, Government, and Society: A Managerial Perspective, Text & Cases. 13th ed. New York: McGraw-Hill.
ix. Shaw, W. H. & Barry, V. (2010) Moral Issues in Business. 11th ed. United States: Wadsworth Cengage Learning.
x. Hawthorne, F. () The Merck Druggernaut: The Inside Story of Pharmaceutical Giant. Available from: http://www.amazon.com/Merck-Druggernaut-Inside-Story-Pharmaceutical/dp/0471679062 (Accessed on 5 February 2013).
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Essay on Total Recall a Dyostopian Narrative
  • Food Recalls: How Effective Are They? Research Paper
  • The Effect of Recall on Non-Meaningful Words Research Paper
  • Toyota Strategy After Recall Essay
  • Essay about Effect of Delayed Recall on Serial Position Effec
  • 2007 Mattel Recall Case Study Essay
  • Mattel and the Toy Recalls Essay
  • Mattel Toy Recalls 2007 Essay

Become a StudyMode Member

Sign Up - It's Free