Research On Supply Chain Management Mode Of Foreign-funded Pharmaceutical Enterprises In China

Happiness and health are the goals of everyone.With the continuous rise of living standards,people put more attention to the healthy life style.However,investigations rev eal that only 5% of the world's total population truly met the healthy standards.The pharmaceutical industry,played an important role in the national economy,has been mushroomed rapidly by developments in economy and the implementation of medical reform policy in China.The annual compound growth rate of China's global pharmaceutical industry output value is maintained at about 20%.It is estimated that China will overtake the United States as the world's largest pharmaceutical market by 2020.Compared with developed countries,China's pharmaceutical industry faced some serious problems,such as low concentration and backward application of supply chain management.The competition among enterprises has turned into that among supply chains with competition getting worse in China's pharmaceutical market entering the meager profit.Pharmaceutical supply chain management that originated abroad in the 1980's,has become an important means to reduce costs,to maximize customer satisfaction and to enhance the core competitiveness of enterprises.In recent years,many pharmaceutical enterprises have begun to focus on the rapid development of supply chain management mode,but China's pharmaceutical industry is monopolized by foreign investment pharmaceutical companies with the stead increasing sales volume.By the end of 2010,foreign-funded pharmaceutical enterprises controlled over 25.4% of the Chinese pharmaceutical market,with an annual rate of growth of 21.1%.Moreover,foreign-funded pharmaceutical enterprises have continued to expand their investment in China by establishing research and development centers,increasing R& D expenditure,merging and acquiring of domestic pharmaceutical enterprises.Owing to the high level of scientific research technology and abundant technical experience and superior management philosophy,the products of foreign enterprises have great advantages in quality,cost performance and reputation.Business managers and scholars are studying how foreign investment pharmaceutical companies combine with the practical situation of companies and select the suitable supply chain management mode to help cash in on the massive market.In view of the principle of supply chain management,this paper finds that there are some problems in foreign-funded pharmaceutical enterprises by studying the current situation of supply chain management in China,such as inadequate supply chain management system,low concentration of enterprises and low efficiency of pharmaceutical logistics.The paper analyzes and summarizes the influencing factors of supply chain management of foreign-funded pharmaceutical enterprises in China through ISM model.The results indicates that the development of foreign-funded pharmaceutical supply chain is affected by three structural levels.Firstly,it is affected on supply chain talents,market demand and scientific research technology level.Secondly,it is limited to the informationization of pharmaceutical industry,medical reform policy and Retailer-Supplier conditions.The highest influential factors are the speed of development of pharmaceutical logistics and the structure of pharmaceutical supply chain.And the paper puts forward the seven corresponding countermeasures from three levels,dedicated to provide references for the efficient and rapid development of foreign-funded pharmaceutical supply chain,and promote their core competitiveness.