The consumer impact of increased competition is detailed by the Federal Trade Commission (FTC), which states “the entry of a second generic drug product generally doubles the price decrease introduced by the first generic product from the branded drug product’s price. Three or more companies offering a generic version of a listed drug can lower the price by at least fifty percent, if not substantially more.”2
Authorized Generics provide consumers brand quality at generic prices. The availability of raw materials and production capacity for Authorized Generics reduces the possibility of marketplace supply interruptions. Consumers also have the same product experiences with Authorized Generics as they do with brand products in areas such as taste, color, mouth feel and shape. And, Authorized Generics reduce the cost of prescription drugs more than the reduction offered by the first generic entrant in the market.
