Without distributors, pharmaceutical manufacturers would have to handle the complex logistics of distributing their products directly to countless healthcare providers. This would require significant investment in infrastructure and logistics capabilities, diverting resources away from their core focus on research and development.
Distributors streamline the supply chain by consolidating orders from multiple manufacturers and delivering them to healthcare providers. Without them, the supply chain would become fragmented and inefficient, leading to delays and potential shortages of critical medications.
Distributors leverage economies of scale to negotiate better prices and terms with manufacturers, which they pass on to healthcare providers. Without this intermediary, healthcare providers would face higher costs, impacting their ability to offer affordable care to patients.
Distributors play a crucial role in ensuring that medications are available when and where they are needed. Without their expertise in inventory management and logistics, patients might experience delays in accessing vital medications, particularly in rural or underserved areas.
Distributors implement stringent quality controls and track medications through the supply chain to prevent counterfeit products from reaching patients. Without their oversight, the risk of counterfeit or substandard medications entering the market would increase, posing a significant threat to patient safety.
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