Question

What does the price of insulin in the USA tell us about MNCs' sense of public responsibility?

Answer 1

Public responsibility is a part of Corporate social responsibilities which is very important in todays's world. Multi National Corporations (MNC) should take care of their stakeholders instead of focus on other areas to enhance their present profits. Pharmaceutical manufacturers in USA are charging very unreasonable amount from their customers for insulin as compared to other countries. It is a violation of the interest of the customers who are part of stakeholders in modern theory. To grow in long run, MNC should focus on to satisfy the needs of their customers instead of charging unnecessary price from their customers in short run. These pharmaceutical MNC's are violating the interest of general public as a monopoly. Government must take necessary steps against manufacturers of insulin and issue a standard reasonable maximum price for the insulin.