How to foster private enterprise#39;s core competitiveness of Chinese medicine.docVIP

 PAGE \* MERGEFORMAT 29 How to foster private enterprise#39;s core competitiveness of Chinese medicine With the accession to WTO process, step by step, private pharmaceutical companies will face tough international competition, domestic-oriented tests. Involved in Chinese medicine market, foreign firms have a more significant than the domestic financial strength, personnel strength and brand influence. Suppliers, competitors, and buyers compete with each other factors of production profits and the competition more intense. Potential entrants, substitutes and existing competitors, the market competition will intensify. Whether the changes in the power over resources, or compete for the changes in market forces, have allowed private enterprises are facing the external environment more complex and unpredictable. Private pharmaceutical companies only to nurture and enhance their core competencies - business continuity and fundamental source of vitality in order to achieve sustained competitive advantage. 1. Private Pharmaceutical Company Analysis As a rule, pharmaceutical products after the accession to WTO tariffs will fall to 5.5% -6.5%, with other member countries were at the same level. In the “Western medicine” and internal medicine aggressively into the dual pressures of reform, China’s pharmaceutical industry will face serious challenges. In particular, private pharmaceutical companies, because of its status and its own particularity, “dead”, the will be significantly affected. (1) The size of private pharmaceutical companies in general relatively small, the lack of strong financial support, outstanding performance in new drug development capacity is weak, a small number of new drugs, low-tech. Over the years, private pharmaceutical companies create new drugs have been relatively weak capacity: 97% of western imitation of foreign species; from Chinese medicine, due to the lack of modern medical theory and technolo