[frgtpsswrdlame]

Gah those numbers don't work like that!! Alexion is a monopoly because of patent law, they are maximizing profit but they maximize profit in $ terms, not % margin terms. Alexion currently spends tons and tons of money on sales. Those sales expenditures only have to yield the slightest profit for them to partake because they don't give a rats ass about relative margins, only absolute profit. These lower profit activities bring the % margin down but overall profit up so the company engages in them. You can look at basically any drug and see that margin on it as a standalone is going to be incredible, they're super cheap to manufacture and you can charge as much as you want while it's under patent. If we limited the cost to $311,000 expenditures would be cut very slightly, the operating margin might move a bit but it would stabilize and they'd continue to make fantastic profits.