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Pharma China Annual Forum 2017

Each year there are more uncertainties surrounding China healthcare and 2017 is no exception. The pharmaceutical industry in China is facing an overhaul of its business model, fast changing marketplace and repeated assaults of its bottomlines.

The Chinese pharmaceutical industry revenue and profit growth rebounded slightly in 2016 to 10.3% and 15.6% respectively in 2016 despite shadows of numerous challenges stemmed from the troubled Chinese economy, regulatory shakeups, cost containment measures and healthcare reform turbulences, according to CPIIC. On the other hand, SMEI suggests the Chinese pharmaceutical market rose slower in 2016 at only 8.76%, compared with 11.0% in 2015. Albeit the seemingly better industry performance, which may simply mean higher inventory in the face of slower market growth, the era of single-digit Chinese pharmaceutical market growth has finally arrived.

The pharma e-commerce segment has been brewing major revolutionary developments. Despite temporary setbacks for official liberalization of online prescription drug sales in 2016, its prospects are sharply uplifted by government withdrawal of approval requirements for pharma B2B and B2C businesses in early 2017. By now, most leading players are well-positioned to take advantage of potential opportunities.

In the meantime, the CFDA's move to elevate drug quality and reform drug approval system, though contradicted by other government agency's preoccupation to slash drug costs, has advanced substantially in the past year. The real questions are that, with the world's largest population, what kind of healthcare solution and product mix China can and should get for merely 5%-6% of GDP? Is the country willing or able to pay more for better drugs and healthcare being pushed?

On the front of drug pricing, the NDRC returned to the drug pricing theme in 2016 under a different flag of antitrust enforcements. By late 2016, the MOHRSS also finalized its draft policy for proposed uniform BMI payment standards and initiated the process to revise the National Drug Reimbursement List.

Despite superficial slogans and touted ambitions of the Chinese government, the healthcare reform has been hijacked by cost containment and gone astray from the pledged path of improving efficiency and fixing structural flaws.

With tax and other revenues drying up and under increasing threat of BMI system deficit amid a slowing Chinese economy, local governments are pressured by both the central government and the public to do more for healthcare with less financial resources.

Pushed to the corner, the Chinese pharmaceutical industry is now at the brink of business bottomlines. Under pressures of escalating anti-corruption campaigns, increasingly sophisticated cost containment measures as well as policy shifts in drug pricing and reimbursements, both domestic and multinational drug companies had no choice but to recalibrate their strategies and business models in order to meet the challenges of the Chinese healthcare business today.

Nonetheless, many drug company executives are still bullish about China's long-term growth prospects. As the government improves access to healthcare, the country's pharmaceutical market is projected by IMS to reach approximately between $140 billion and $170 billion by 2021 on slower annual growth between 5% and 8%. But the short-term picture is proving difficult, with reforms in the hospital sector affecting physician prescriptions and price pressures growing for most drugs.

The Chinese economy and the reform of its healthcare system are once again at crossroads. Pharma companies, local or foreign, must change to remain competitive and fit with the market.

The Pharma China Annual Forum 2017 is an English language annual pharma industry event oriented for foreign drug companies in China. It is sponsored by RDPAC and WiCON International Group LLC, the publisher of WiCON|Pharma China. The event's emphasis is on healthcare policies, drug regulations, market access and strategic issues as well as potential impacts of latest and upcoming policy changes on the Chinese pharma industry. In addition, contemporary trends of M&As, R&D and licensing, business hotspots and e-commerce, as well as future market outlook will be explored and discussed.


"Thanks again for organizing this annual forum. This is my first time attending this forum, I found it really useful. The content is highly relevant and up to date.
------- FENG Jun"

Date: Jan 1, 1970 *

Negotiation with International Healthcare Companies – A Pharma Business Development Course

Business Development in the pharmaceutical industry has become the most significant source of new products for most companies. Although forward integration from research to market still exists it is no longer the mainstay of corporate growth. Business Development is now conducted throughout every organization which requires personnel in all disciplines to understand their role in bringing new products into the company whether they are head office based or located in a subsidiary.

Beyond the general principles of negotiation lies a world of personal interaction and performance. These characteristics vary widely between the cultures of companies, industries and countries.

Concepts of “Western” and “Eastern” attitudes and communication styles have long been recognised as causing doubts and concerns about how to approach negotiations between groups with different origins.

However the Pharmaceutical Industry in particular is dominated by Western companies in global marketing and distribution. Negotiators from China need to understand the behaviours of their counterparties to form good relationships and good deals.

This course, unlike others, examines the fundamental requirements of the mind-sets of negotiators on all sides and combines academic understanding with practical methods and examples and exercises showing of how to bring negotiations to successful conclusions all around the world.


"Beyond the general principles of negotiation lies a world of personal interaction and performance. These characteristics vary widely between the cultures of companies, industries and countries. "

Date: Jan 1, 1970 *

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