Study On The Strategy Transformation Of Jiufang Pharmaceutical Factory In The Context Of Centralized Procurement Of Medicines

Pharmaceutical industry is of great importance to national economy and the people’s livelihood,especially,it affects the interests and wellbeing of the people,which is one of the strategical industries in relation to the people’s life and health.It plays a critical role during the period of Covid-19 pandemic and is subject to the regulation of national policies.The development of pharmaceutical industry in China draws worldwide attention.In recent years,a set of domestic policies including “4+7 city volume-based procurement”,national centralized procurement and medical insurance admittance negotiation,has brought a new round of changes to the whole pharmaceutical industry.In the context of the implementation of those policies including national centralized procurement,how to formulate an effective development strategy and implement the same has become an important topic of pharmaceutical companies for their strategy transformation.This article takes the strategic development and transformation of Jiufang Pharmaceutical Factory as an example,aiming to provide some thoughts and references for the company to formulate strategic choices and plans in the operation and help it achieve a higher-quality development by analyzing the national pharmaceutical industry environment and the internal environment of the company.Firstly,this article sorts out the relevant theories needed for strategy formulation,elaborates on the strategic analysi s tools used herein,and comprehensively analyzes the pharmaceutical environment by using external environmental analysis tools,including macro-environment analysis,industry environment analysis,competition environment analysis and competitor analysis.Secondly,this article systematically analyzes the internal environment of Jiufang Pharmaceutical Factory by using the internal environment analysis method,including the company’s resources and resource utilization capabilities.Thirdly,this article summarizes the company’s internal advantages and disadvantages as well as external opportunities and threats based on the aforementioned internal and external environment analysis,and uses SWOT analysis tools to match strategies,formulates a scientific and reasonable strategic plan for the company,including strategic goals and paths,competition strategies and function strategies.Lastly,this article draws the study conclusion,formulates a set of relative comprehensive strategic implementation plan from the perspectives of the strategic adjustment of marketing strategies,the increase of R&D investment,the optimization of the marketing system,the acceleration of internationalization process and the optimization of the human resource system,and offers implementation safeguard measures in the areas of adjusting the organizational structure,improving corporate governance,enhancing corporate culture construction,promoting corporate environmental soft power,strengthening financial management and reinforcing R&D risk control,so as to help the company realize corporate strategy transformation in coping with the national centralized procurement of medicines,and achieve rapid development.