Study On Competition Law Regulation Of The Price Monopoly In Pharmaceutical Industry In China

With the deepening of China’s market economy system reform, the market-oriented pharmaceutical industry is also rising.In 2015 China has established a market-driven drug price formation mechanism when the vast majority of drugs are priced independently by the market. In this context,competition in China’s pharmaceutical industry will become increasingly fierce, especially in the area of drug prices, which may face greater regulatory challenges. As the pharmaceutical industry is a special industry concerning with national economy and people’s livelihood, it has become an important task to explore how to regulate price monopoly behaviors in pharmaceutical industry, and how to maintain the order of competition in pharmaceutical industry, and how to protect the interests of consumers.It’s all the same in the world that manifestations of price monopoly behaviors in pharmaceutical industry are diversified, as the drug itself is unique. In this paper, we propose to improve the price monopoly competition law regulation in pharmaceutical industry according to our country’s national competition policy direction and the characteristics of the pharmaceutical industry, after considerations of of the status quo of competition legal regulation in China’s pharmaceutical industry and reference to developed countries and regions’ concerned experience like European and American. In addition to the introduction, the paper is divided into the following four chapters which will be specifically discussed.The first chapter introduces the formation mechanism of the price monopoly behavior in pharmaceutical industry. Based on the characteristics of drugs and pharmaceutical industries, we analyze the causes of the price monopoly behavior in pharmaceutical industry, as a basis for later discussion.The second chapter analyzes the concrete manifestation of price monopoly behaviors in China’s pharmaceutical industry. And then we discuss the harmfulness of such monopoly behaviors and concerned regulation significance to illustrate the necessity of competition legal regulation. Finally, we explore status quo of competition law regulation of the price monopoly behaviors in pharmaceutical industry.The third chapter makes a comprehensive analysis of the US and EU competition legal regulation in pharmaceutical industry in terms of legislation, law enforcement and legal responsibilities and provides some new competition law enforcement cases in pharmaceutical industry which has not yet appeared in China to draw inspiration from those foreign experience to improve China’s competition legal regulation on price monopoly behaviors in pharmaceutical industry through comparative analysis.Chapter IV makes a number of recommendations to improve China’s competition legal regulation on price monopoly behaviors in pharmaceutical industry, on the basis of the status quo of China’s competition legal regulation and foreign experience in competition legislation and enforcement.