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The Research On Marketing Solution For Big OTC Enterprises Under The New Economy Situation

Posted on:2012-08-18Degree:MasterType:Thesis
Country:ChinaCandidate:G ZhaoFull Text:PDF
GTID:2309330425984828Subject:Business Administration
Abstract/Summary:PDF Full Text Request
China is in a period of rapid economic development, with GDP maintaining a high growth of8%to11%. In recent years, the country has advanced to the strategic altitude of improving people’s livelihood and stimulating domestic demand in economic structure adjustment. Accordingly, the income level and spending level of residents grow gradually, constantly promoting people’s demand for health issue and the ratio of health-related consumption in total household expenditure. At the same time, with the advantage of the medical system reform and policy tilt, the pharmaceutical industry grows into a rapid developing stage. However, large enterprises of pharmaceutical OTC (Over The Counter drugs, the same below) have plunged into the vicious circle of weak growth in succession after20years of high growth. Faced with the prosperous development in cities of second, third and forth tier, health clinic in towns and townships and rural hospitals, OTC enterprises have made many trials. Nevertheless, it’s hard to find a breakthrough.Based on the example of SFL which the author works for, this article explores the original cause of the difficulty in this market, analyzes the marketing plight and tries to propose a proper solution under the new economy situation.The structure of this article is as follows:Part Ⅰ. Introduction. In this part, the writer points out the frustrated status quo that the development of large OTC enterprises lag behind that of whole economy and pharmacy industry, setting light upon the significance of the content in this article. Moreover, the writer makes clear the research methods and trails in this part.Part Ⅱ. The author mainly shows readers six micro-environment powers faced by large OTC enterprises on the basis of careful comparison of data, figures and the study results of former scholars. Particularly, the writer analyzes the profound effect of outside environment on the development of pharmacy industry and large OTC enterprises.Part Ⅲ. The readers can get a clear image in this part of the competitive landscape in pharmaceutical industry and of the current situation of the existence of large OTC companies. More importantly, the author illustrates the effect of change, which comes from both inside and outside of the companies on the distribution channels.Part Ⅳ. According to this part, the author successively analyzes six difficulties in large OTC companies and the challenge in performances brought by them, which are intense competition, low input-output ratio, large but scattered target consumers and the marketing problem because of it, differences of the usage of drugs of towns and countries, super-abandoned distributers and problem of personnel management. Simultaneously, the writer puts forward a solution to distribution problem, offering suggestions in terms of brand strategy, chain enterprise plan, and R-CRM (Retail-Cus Relationship Management) and drafting developing structures of chain enterprise based on4C management methods. Then, the author brings in the idea of direct marketing aimed at retail terminal that are covered by special-assigned persons. The main proposal is that working out effective joint business plan with pharmacy business to cover extensive market terminal, taking advantage of pharmaceutical business customers information technology to perfect the management methods of sales persons and realizing the perfection and innovation of OTC marketing under new economy situations.Part Ⅴ in this part, the author applies the offered marketing solutions to large OTC enterprises to SNF, a company where the author works, confirming the effectiveness and the feasibility of this method through the analysis of actual results. Also, the author points out the possible demerits and further integrates the marketing proposal.To draw a conclusion, the writer analyzes the problem qualitatively and quantitatively based on the personal management experiences, deliberate observations and contemplation, taking advantage of document and industry materials in this field, utilizing related economic and management theory and adopting the combined method of normative analysis and positive analysis. At the same time, the author has applied parts of the suggestions in SNF to deepen the research conclusion.The paper’s main contribution:1. This paper integrated business,retail sales and the third terminal work in marketing chains,analyzed difficulties faced in sales,and put forward solutions involved with the practice of advanced mobile phones.information and network systems.2. The study combined characters with customer demarcation in large pharmaceutical OTC retail chain enterprises, uesed terminal customer distribution’s diversification and standardization,and difined normalization for trades and data, according to the customer relationship management R-CRM three-dimensional analysis structure. Through a few dimensions of competitiveness, execution, operation, profit and growth, it explored how to choose important customer chains.3. This paper introduced sale theories to explain terminal5P theory:product penetration, display, sales promotion, price and POSM.4. It combined the OTC enterprise marketing business plan with cell phone visit system in order to control information and adjust the marketing plan timely.5. The study introduced database theory to analyze joint business plan, and used database marketing characteristics to choose customers and expand the third terminal market.The deficiency of this paper:There are few specific cases mentioned in accordance with OTC marketing solutions, marketing data aimed at cities in third and fourth tiers are limited, and specific research towards different brands and products is not enough.The next research direction:With the integration of places and the clear division of labor, there will be more data and samples. The next plan is using work opportunities to analyze market data in third and fourth tiers’cities, and detailed practice in different areas and various brands, looking foraward to finding suitable OTC marketing ways for China.
Keywords/Search Tags:Medical Meform, OTC (over the counter, non-prescriptiondrugs), Third Market (small hospital and drugstore in third-tier andfourth-tier cities), Direct Marketing, Database Marketing, InformationNetwork
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