Research On Pharmaceutical Export Strategy Of China Sinopharm International Corporation

In the recent years, under the influences such as the slow economic recovery in the USand European nations, strengthened supervision on the global level, and continuouspressure imposed by RMB appreciation, the development space of ChinesePharmaceutical Foreign Trade has been encountered with great limitation. Ourpharmaceutical export has fallen into a dilemma for such reasons as weak demandfrom foreign countries, suppression from international market and the adjustment ofpharmaceutical industrial structure. The competition in medical distribution industrybecomes increasingly fierce, the industrial concentration gets further strengthened andthe pharmaceutical cost rises. All these factors contribute to the salient revenue drop indomestic pharmaceutical enterprises.In2013, China’s pharmaceutical foreign trade maintains steady momentum, and has astable overall situation. The total volume of medicines and health products’ import andexport reaches$89.693billion in2013, and the export volume reaches$51.18billion,which marks an all-time high in terms of China’s import and export volume. Chineseeconomic structure continuously gets adjusted, the transformation and upgrading ofpharmaceutical foreign trade enterprises becomes even more strengthened, theunceasing dilation of domestic medical reform pulls import growth up, and the wholemedical industry is driven by the rigid requirements of the market. All these indicatethat China’s pharmaceutical foreign trade will meet both opportunities and challenges.At present, our pharmaceutical industry is at a crucial juncture of transformation andupgrading period. The scale of the industry is expanding day by day; the amount offine enterprises is soaring; the sense of protecting brands and property rights growsstrengthened; many a company is constantly going global.In present days, the business of our corporation is at a transformation and upgradingperiod and the total volume of both import and export records a new high. Bycomparison, the growth of pharmaceutical export business is relatively in a slow pace.The layout of our pharmaceutical export gets differentiated, and each business unituneven development: the percentage of export grows slowly; the benefitting capabilityon the export side is relatively weak; we lack core competitiveness and our growth speed can’t match that of pharmaceutical powers.This paper is based on the analysis of both international and domestic pharmaceuticalindustries, especially of the situation and problems of China’s pharmaceutical export.Through the research into strategic management-related theories, the paper delves deepinto the strengths, weaknesses, opportunities and threats of our corporation by meansof SWOT. Thus, it raises a way-out that the corporation should go on a differentiatedroad in terms of export products, service, brands and marketing channels, as well asimprove its core competitiveness. Moreover, during its developing process, thecorporation should forge a full industry chain by both forward and backwardintegration. On the other hand, the corporation should enlarge the scale of marketdiversification and business diversification, as well as expand export market andoptimize the structure of export products. By merging with foreign enterprises, thecorporation can improve its global business network. Through the integration ofenterprise resources, organization configuration, the international accreditation of ourown products, the evaluation system of payment and risk recognition and prevention,we can efficiently implement our strategies and gain more competitive advantages inthe fierce competition.