Merck and River Blindness
1. What do you think triggered Merck to invest in the development of the drug for the
treatment of river blindness despite potential costs and benefits? Detail it.
The fact that river blindness has infected 18 million people in some of the
poorest parts of the world where organization and government intervention
lacked, we believe that this was enough reason or trigger for the Merck Company
to lead and extend help to our fellow brothers and sisters. Despite the potential
losses, Merck still invested in the drug to cure river blindness for they are
practicing corporate philanthropy. The company is more worried of the people
who are in danger than the major losses; this is supported by the fact that they
are willing to supply the drug for free forever. Merck knew that it would never be
a profitable product since it affected the poorest part of the world but they
continued researching for the cure and did not mind losing 200 million dollars in
the process.
2. Is Merck a socially responsible company with this concern on treating river blindness?
Defend your answer.
Going beyond the normal parameters of a life-saving company, we
believe that Merck is a socially responsible company in terms of research,
production, and distribution of the treatment for river blindness. Despite the
uncertainty of success in the development of the said treatment, Merck decided
to risk millions and invest time for this drug. Furthermore, this risky decision
endangered the company´s existence and exposed it to the possibility of
bankruptcy. Nevertheless, one cannot deny the bravery and heart of the
company in aiding and alleviating human suffering. Hence, Merck proved their
social responsibility and commitment to service.
3. What do think Merck gain out of this gesture done to people in Africa and South
America? Discuss.
Merck's role for producing and freely providing ivermectin to cure river
blindness will be the best example of corporal generosity. It may seem that they
wasted a lot of money but in fact they are just meeting the responsibilities of their
shareholders who are helping fund their business and in turn they do their social
responsibility. In this case, it seems that Merck us practicing Care Ethics for they
are helping the lower-income communities in terms of health. Up to this day,
Merck is willing to provide the said medicine whenever a certain country needs it.
With all that being said, Merck is considered the best-managed company
because not only they are earning income from their products, they are also
doing their social responsibility as a business.