Research On The Development Strategy Of Chongqing H Chinese Medicine Pharmaceutical Compan

Since China’s reform and opening up in 1978,the rapid development of the national economy and the continuous improvement of people’s living standards have led to an increasing awareness of health among the public,resulting in significant progress in the pharmaceutical industry.Traditional Chinese medicine(TCM)is a strength and characteristic of China’s medical development and an essential part of Chinese civilization.In recent years,the Chinese government has been paying increasing attention to the inheritance and innovation of traditional Chinese medicine,and China’s TCM industry has experienced rapid development along with the modernization of TCM.Chinese medicine formula granules,also known as "decoction-free formula" or "convenient decoction," are granular forms of traditional Chinese medicine that can be directly prescribed by doctors in clinical practice.The preparation process of traditional Chinese medicine decoctions is complicated;in response to the need for convenient,ready-to-use medications,Chinese medicine formula granules were developed.China has been advocating research on Chinese medicine formula granules since the 1980 s.In 2001,the National Medical Products Administration issued the "Interim Regulations on the Management of Chinese Medicine Formula Granules," and from then until 2021,the management of Chinese medicine formula granules remained in a pilot phase.In 2021,the pilot program for Chinese medicine formula granules ended,and their medical insurance positioning became clear.The sales scope was expanded from being limited to sales to level 2 and above TCM hospitals to all levels of medical institutions with qualified TCM qualifications.Since then,the Chinese medicine formula granules industry has entered a critical period with both opportunities and challenges.The focus of this article is to analyze the internal and external environment faced by H Company,a manufacturer of Chinese medicine formula granules.With regard to the internal environment,H Company’s internal resources and capabilities are sorted out in five aspects:financial resources,human resources,production capacity,R&D capability,and marketing capability.The IFE matrix is used to conduct a comprehensive evaluation of H Company’s internal environment.In terms of the external environment,a PEST analysis method is used to examine the macro environment,and Porter’s Five Forces Model is applied to study the industry environment.Furthermore,an EFE matrix is employed to conduct a comprehensive evaluation of H Company’s external environment.By combining the analysis results of the IFE and EFE matrices,the SWOT matrix is utilized for strategic matching,concluding that H Company should adopt a " SO strategy(maxi–maxi)." Finally,using the QSPM matrix,the study proposes specific development strategies for H Company,suggesting backward vertical integration,and provides practical strategic implementation guarantees for the company’s planning.This paper presents a comprehensive analysis of H Company and offers strategic suggestions,aiming to promote H Company’s long-term development and provide references for the development of similar TCM enterprises.