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| Health Net-Works Take On New Meaning | |||||||||||||
| Subject | Assumptions and equilibrium | ||||||||||||
| Topic | Monopolistic Competition | ||||||||||||
| Key Words | On-line companies, industry | ||||||||||||
| News Story |
More than two hundred on-line companies now sell prescription drugs. While most are small companies, the big four drugstore chains (Walgreens, Eckerd Drug, CVS and Rite-Aid) are in the process of joining the internet-based drug industry. The system is that consumers email or call the pharmacist with the prescription information and the doctor's name. After verifying the prescription the pharmacy fills it and mails the drugs or leaves them for pickup at their store (if they have one). The web sites also provide health information and chat rooms related to various conditions. Some web sites have on-line physicians who will prescribe medications. Consumers like on-line pharmacies because they are convenient and are less uncomfortable than retail stores. Also, the absence of a need to operate stores enables some companies to offer the drugs more cheaply. The danger is that the sites may be used to promote other drugs or make drugs more available, both of which could be dangerous without face-to-face physician input. (Updated October 1, 1999) |
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| Source | Mark Albright, "Net dosage," St. Petersburg Times, July 5, 1999. | ||||||||||||
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