Study On The Development Of Veterinary Drug Industry In China

Veterinary drug industry in China has been formed and grown up gradually with theintensification and modernization of the livestock industry. As the short developing period,there are many problems which get a serious impediment to the development of veterinarydrug industry in China. Recent years, many events which related to food safety, such asClenbuterol and White Feather Chickens, has aroused the society and residents’ extensiveattention. The government has begun to show the further specifications and requirementson all aspects of veterinary drug industry. But so far, domestic research for thedevelopment of China’s veterinary drug industry has not been in-depth yet, failed to form asystematic summary or guidance.Veterinary drug industry in China is rich of contents, involving multiple sectors, anypart’s operating conditions of the industry link will be significant responsible for theimpact on the junction and extension of the whole industry chain. Since that, it becomesvery important to study veterinary drug industry in China and make some constructiveresponses to promote rapid development of it. This paper aims to use the knowledge andprinciples of industrial economics, do the feature and reality analysis on all departments inveterinary industry chain, get the inductive analysis results of the factors which affect thedevelopment and improve the systematic study of veterinary drug industry in China,provide a reference for a better acknowledge of the developing forms of this industry,enforce the effect of supportive factors and reduce the effect of obstructive factors whichsupport the rapid and sustainable development of veterinary drug industry in China.First of all, this paper summarizes some major research statements of experts andscholars, who are specialized in the field of veterinary medicine industry, combined withthe use of industrial economics theories, define and analyze the concept and connotation ofthe veterinary drug industry and its industry chain, sum up the innovation and necessity ofthis study.Then the paper makes a summary and analysis of development status of veterinarydrug industry by successive segments of the industry chain, first from the point of theR&D(including its topics, methods, investments and results), the point ofproduction(including the quantity and distribution of manufactures, the production value,the number and structure of practitioner, the product quality), and the point of circulation(including foreign sales, the manufacture sales and the dealers sales).Based onthe above analysis, the paper shows the problems which obstacle the development ofveterinary industry in China, such as unquestioning choice of R&D topics, limited R&Dinvestment and imperfective R&D system; low capacity utilization and inadequate internalmanagement of manufactures; serious homogeneity and imbalance structure of veterinarydrugs; low organization profitability, low market concentration, lack of circulation marketnorms and so on.Further more, this paper makes a corresponding analysis of the external and macrofactors that affect the development of the veterinary medicine industry in China by usingthe PEST analysis, then define the manufacturer and the whole industry as the inner andouter boundaries, focus on the market, analyzed the medium influencing factors from fouraspects, including the market competition, the supply and demand conditions and thebehavior of the suppliers and demanders of industry. After that, this paper applyspecification analysis and multiple regression models to considerate the inner influencingfactors of veterinary manufacture, the core organization of veterinary industry, realize themechanism of internal control factors, and the meaning and weight of four factors whichinfluence the operating performance of the veterinary drug manufacturer in China.At last, based on the above research, the paper puts forward the correspondingcountermeasures and suggestions for three main agents of veterinary drug industry inChina, including the manufacture, the dealer and the government.