Study On Profit Model Of Hengruipharmaceutical Co.,LTD

In recent years,the global pharmaceutical market has maintained steady growth.From2012 to 2017,the global pharmaceutical market continued to expand at a compound annual growth rate of 5.3%,and in 2017 it reached a market size of nearly $1.24 trillion.In high-income countries,with the expiration of a large number of patents and the widespread use of generic drugs,the growth rate of public spending on medicines(especially in the field of chronic diseases)has dropped significantly.Emerging markets have shown a relatively rapid growth momentum,and the government's continued expansion of medical services and coverage of protection will further drive the rapid growth of drug consumption.Compared with the international market,at present,China's pharmaceutical manufacturing industry still exhibits a certain "small,scattered,chaotic" characteristics.Some pharmaceutical manufacturing companies have problems such as small-scale,insufficient R & D investment,and lack of core competitiveness.Low-level redundant construction is more serious.Despite strict supervision of policies at all links,China's pharmaceutical manufacturing industry is highly market-oriented and has ample competition.Hengrui Pharmaceutical has taken the lead in the pharmaceutical manufacturing market to become a “white horse” and has attracted attention in the industry.This article first elaborated the research background,purpose and related theories,followed by a brief introduction of the pharmaceutical manufacturing industry,and then introduced Jiangsu Hengrui Pharmaceutical Co.,Ltd.Overview,Jiangsu Hengrui Pharmaceutical Co.,Ltd.is a large-scale pharmaceutical manufacturing industry,research and development Large-scale investment,patented drugs,and products with core competitiveness.Analyzing its profit model will help understand the profitability of the pharmaceutical manufacturing industry.This article analyzes the profit model of Hengrui Pharmaceutical from the elements of profit model,evaluates its profitability from financial indicators,and points out advantages and disadvantages.Based on this,this paper proposes to analyze the case profit model by selecting four factors: profit source,profit point,profit leverage,and profit barrier,and points out the advantages and disadvantages of its profit model.Based onthis,this article concludes that Hengrui Medicine strengthens the research and development of innovative drugs and makes the business performance of the company grow steadily.The internationalization of products enables the company to have a broader market,and there is room for improvement in the stock turnover rate of Hengrui Medicine,which can reduce inventory and promote business.development of.Finally,the author points out the limitations of the research process,including data,data acquisition and the selection of indicators.