In the new joint venture era, local pharmaceutical companies no longer become processing plants.

At the beginning of reform and opening up, when China's pharmaceutical industry was in an extremely backward state, many state-owned enterprises had been given the mission of cooperation with multinational pharmaceutical companies through history. Under that line of thinking, many domestic companies and multinational companies have jointly established China's first modern pharmaceutical factories. Especially in Tianjin, many well-known pharmaceutical companies such as Takeda, Otsuka, and Stark have gathered in local development zones. For the Chinese companies at that time, new technologies brought high-quality products and trained a number of talents for Chinese companies.

However, in the context of that time, the kind of administrative “Lang-Lang matching” did not make the two companies that cooperated truly achieve results. Because of the strong government background of the state-owned enterprises, the difficult cooperation between the joint venture company, the Chinese manager and the foreign counterparts is difficult to hide. Therefore, because the cooperation is difficult to continue, many foreign companies abandon the joint venture or simply start the new venture, such as Takeda Pharmaceutical and Tianjin. Lisheng Pharmaceutical.

Another example is that Shanghai Pharmaceuticals, while undertaking political tasks and joint ventures with many multinational corporations, is now basically not asking about joint ventures. The development of multinational corporations is free. Obviously, this way of letting these companies do well is a good development. .

Multinational pharmaceutical companies have entered China for more than 30 years. Relatively speaking, the more wholly-owned companies are, the better they are. It can be seen that joint ventures are increasingly unsuited to the development of multinational companies. However, the idea of ​​"technology-for-market" also failed. Although a large number of talents were trained, it still failed to enhance the technological level and R&D capabilities of local companies.

Since 2010, a new round of joint venture model has re-emerged. Although there have been cooperations between multinationals and local companies since then, they have remained at a relatively basic level. Although the joint venture plan of Pfizer and Hezheng and Mercy East and Xianshen was launched, a new wave of joint ventures is coming again. However, compared with the previous wave of joint ventures, this time, Chinese domestic companies are no longer the main state-owned enterprises. In the past 30 years, the pharmaceutical industry has developed a number of local private enterprises that adapt to the market environment.

These companies started from small markets and gradually grew and grew. They are in the process of going up. The lack of technology accumulation and the lack of experience in the operation of high-end markets are the pains that their growth needs to experience.

In front of the patent cliff, multinational companies increasingly regard the Chinese market as the key to future development. However, it is not easy to really enter the Chinese grass-roots market. Although these multinational companies have tried many ways, they have not made substantial progress.

In this case, one party should go up and one party should go down, so it's a snap. Although in the previous state-owned joint venture model, China basically went to a processing plant or became an unnecessary foil. However, in this round of joint ventures, Chinese companies could not suffer such an end, because these companies lack the pharmaceutical technology, such as Hisun, many of whose products have already passed the European and American certifications, and have done many years of high-end processing plants, and now they need to learn precisely. How is the product packaged and sales realized?

Although these companies do not want to become processing plants, but need to worry about, multinational companies are interested in China's grass-roots market, and hope to accelerate the penetration of these grass-roots markets through cooperation with domestic companies.

However, the cooperation between the two parties seems to be aimed only at some patent expired drugs, and those that have really entered the high-end market will not be involved in these joint ventures. Although avoiding the fate of becoming a processing plant, these new joint ventures may become the pioneers for multinational companies to enter the grass-roots market. Local companies may lose the courage to continue to grow up. This is a need to wake up.

Compared with the previous wave of joint ventures, this time Chinese local companies are no longer the main state-owned enterprises. In the 30 years of pharmaceutical industry development, a number of local private enterprises have adapted to the market environment.