Research On Cost Control Of Mpharmaceutical Company Based On Value Chain

With the prosperity and development of China’s economy,people’s increasing awareness of health has promoted the great development of China’s pharmaceutical industry.Although it is a sunrise industry,the competition within the pharmaceutical industry is also very fierce.Only pharmaceutical enterprises with outstanding competitiveness can develop stably and for a long time under pressure.However,traditional cost control methods have their limitations and cannot meet the needs of pharmaceutical companies for cost control,let alone enhance their competitiveness and achieve sustainable development.To effectively improve this situation,thesis considers conducting cost control research on M Pharmaceutical Company from the perspective of the value chain,attempting to make up for the shortcomings of the company’s traditional cost control and provide new ideas for cost control of other pharmaceutical enterprises.Firstly,thesis introduces the research background,significance,and current research status at home and abroad of value chain cost control,and summarizes it from three aspects: value chain theory,cost control theory,and value chain cost control theory.Secondly,introduce M Pharmaceutical Company and analyze its cost control status and existing problems.Once again,based on the value chain theory,a systematic analysis is conducted on the internal and external value chains of M Pharmaceutical Company and their cost drivers,and key links in each value chain of M Pharmaceutical Company that need to strengthen cost control are proposed.Subsequently,based on the previous analysis,a plan was designed for the key links in the value chain cost control of M Pharmaceutical Company,with the aim of more effectively controlling the company’s costs and having a positive impact on the increase of the company’s economic benefits and the enhancement of its competitiveness.Finally,apply the plan to control the internal value chain cost of M Pharmaceutical Company,using the activity-based cost value coefficient method to identify cost controllable points in internal value activities,and propose improvement measures for cost controllable points;Using Analytic Hierarchy Process(AHP)to select the best suppliers and customers for M Pharmaceutical Company in terms of cost control in its vertical value chain;In order to control the cost of its horizontal value chain,benchmarking management learning method is used to collect competitor information to identify its own weaknesses and learn from its competitors’ strengths.In addition,measures have been proposed to ensure the implementation of value chain cost control,promoting the further development of M Pharmaceutical Company.Thesis is based on the theory of value chain and combined with the actual cost control situation of M Pharmaceutical Company,and analyzes its cost from the perspective of the value chain,seeking effective methods to reduce costs,which can enable the enterprise to obtain a sustained competitive advantage.At the same time,value chain cost control has reference significance for other pharmaceutical companies in the industry,which is conducive to improving the overall value and core competitiveness of China’s industry.