Differential pricing

Cross-country approach of setting the price of medicine in accordance with the ability-to-pay, and/or the economic situation of the involved countries. The pricing decision would be taken in a collaborative approach by the governments of the involved countries or an international organization.
There is a difference to ‘price discrimination’ (‘market discrimination’, ‘Ramsey pricing’) that describes a business strategy of economic actors to segment the market according to the observed demand-elasticity of consumers.

Last update: 15 June 2023

Source: PPRI