China's Pharmaceutical Industry Competitiveness Research Based On Diamond Model

With the deepening of economic globalization, economic relations among thecountries become increasingly close, and the competition become more and more fierce.Because China pursues economic growth which relies on investment inside and exportsoutside, trade friction between China and other countries constantly escalates.Especially the feeble economic recovery in the developed countries and the new tradeprotectionism spreading at present, China needs to accelerate economic transition,transform the high growth, low efficiency mode of economic development.The pharmaceutical industry is known as "sunrise industry". It has high-tech andhigh-yield characteristics. For its well growth， the pharmaceutical industry has becomeone of the world’s most competitive industries. China`s pharmaceutical industry startedlate compared with western countries`. But it faces the severe challenges of the westernmultinational pharmaceutical companies. Under this background this thesis selects thepharmaceutical industry as the research object.First，this thesis summarizes the detailed situation of the development of China`spharmaceutical industry. And then this thesis evaluates the overall competitiveness ofthis industry of China from industry competition strength，competition potential and thecompetitive environment three aspects. It shows a gradually rising trend ofpharmaceutical industry competitiveness of China. But there is still a wide gap. Thencombined with Potter" Diamond Model"， this thesis utilize the factor analysis methodto study the influence factors of the competitiveness of pharmaceutical industry inChina. Advanced production elements of supply， the support of related industries andthe demand for medical service have obviously effect on enhancing competitiveness.Finally， according to the results of the model， this thesis puts forward the feasibleways to enhance the competitiveness of the pharmaceutical industry in China.