Mark Cuban's Cost Plus Drugs

It seems like a good opportunity to use automation to cut out a lot of admin bloat. So the motivation here would be to make a ton of money.

I think one of the issues with healthcare is the incentives are out of whack to increase costs as that makes more profit. For example, insurance has to pay out premiums in benefits so to make more money they raise premiums and pay out more, but have a higher profit at the same margin.

For example, if I collect $100 in premiums and pay out $80, then I have a gross profit of $20. And it’s hard to increase that. So how about I increase premiums to $120 and pay out $96? Now I have $24 in profit. So I don’t care much about increasing costs as it makes me more.

If I just have robots processing orders and can funnel all the profits directly to me (or a small group of employees and investors) then I’m able to take lots of market from “fat” insurers before I maximize my market share and start to increase costs.

The nice part about this is that it disrupts the current insurer, pharmacy, drug company environment where none of them care much about costs.

Spoiler, no one is taking one for the team.

I don’t actually want to rely on altruism and I prefer a solid, non-exploitative business model where people do a good job because they want to get paid.

> Big Pharma looks obscene sometimes.

Sometimes? The medical industrial complex's MO is to squeeze as many people (in the USA) as they can for every penny they have. The American sheeple have been duped to vote against their own best interest (a single-payer system). We don't have the best medical care in the world and we pay at least 10x for it.

If I'm understanding their basic message, the pitch is "we can get you cheaper prescriptions because we're a well run business that's making a rational but not exorbitant profit" and linking your branding to someone already famous for running businesses seems to be a very reasonable way to add credibility to that message.

In other words, I don't think Cuban puts his name on all businesses he's involved in like this, but for this case specifically it seems fairly obvious that using his name furthers their message.

I assumed it was to help add legitimacy to the company. Some random company selling drugs for cheap on the internet? Sounds very sketchy, stick with your local pharmacy. That same company, run by a famous figure? Maybe worth giving a shot