Research On The Development Strategy Of YB Group In The Context Of Pharmaceutical Industry Upgrading

YB group, a big pharmaceutical joint-stock company, is one of thefirst high-tech medical enterprises in Shanxi province listed on the market,which covers a large field such as the new drug’s research, production, retailand wholesale, the distribution management as well as the cultivation ofChinese herbal medicines. With the rapid development of the domestic economy,YB group operating on the modernized management principle is blooming dayby day. With nearly3billion yuan general assets and over2billion yuan annualsales revenue, YB ranks on the top of100domestic pharmaceutical enterprises.In recent years, with the fast development of biotechnology and genericdrug, technology of pharmaceutical research in the world is changing rapidly.This situation provides great opportunities for all the countries to catch up withthe world’s first-class production technology and narrow the gap, which resultsin the fierce competition of the international medical market. Simultaneously,shaped by a series of present policy and economy, the domestic pharmaceuticalindustry is undergoing and suffering the radical change of structural adjustment,industrial upgrading, and translating the size from big into power. In such asituation, how YB group can grab the golden opportunity to expand the livingspace, promote the core competitiveness, and realize the strategictransformation successfully has been an essential focus for it.The dissertation is designed to make a4-stage strategic research from theperspective of strategic management by focusing on YB group under thebackground of industry upgrading. The first stage is to analyze the external environment strategically by studying the macro environment with PEST andglobalization analysis approach, analyzing the industry environment withcompetition analysis approach and making a quantitative evaluation with EFEmatrix analysis tool. The second stage is to make a quantitative evaluation withIFE tool by analyzing the internal environment such as enterprise resources,human resources, technology innovation, marketing situation and so on,coupled with the analysis of Value chain. The third stage is to put forward a setof global management strategy propitious to the future development of YBgroup based on the analysis with QSPM matrix tool in terms of three proposedstrategic alternatives by employing SWOT analysis approach to study theopportunities and threats on the external environment as well as the advantagesand disadvantages on the internal environment. The future YB group, aninternational leading professional large-scale multinational pharmaceuticalenterprise, is planned to establish its own professional brand series in the fieldsof pediatrics, gynecology, and the senior’s chronic diseases, with themodernization of TCM and biological medicine as wings as well as innovativeR&D and pharmaceutical marketing as the driving force. The fourth stage is tomake a feasible strategy plan and specific strategy measures with dynamicthinking pattern to ensure the final realization of the strategic target.