Eli5 – How do name brand drugs turn a profit?

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Might sound like a loaded question, but hear me out.

In the Good ol’ USA, generic drugs are required by the FDA to have the exact same make up as the name brand drug (ie. Benadryl vs generic Diphenhydramine). I’d imagine this is also a requirement in other countries.

So how exactly do those companies turn a profit when a generic version of their drug can swoop in and undercut them?

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16 Answers

Anonymous 0 Comments

Because people still buy it.

It’s frankly that simple. Some people but name brand and only name brand even if it’s the same.

Some people don’t know ibuprofen and Advil are the same thing.

For the smart shopper you can save money. I bought a like 200 pack of off brand Tylenol like 2 years ago and it only ran out for the family a few months ago. And this is including me taking some to work and accidently losing them

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