Nanjing Xian-Janssen Pharmaceutical PK- pharmaceutical industry the largest ever Business e-conflict.docVIP

 PAGE \* MERGEFORMAT 6 Nanjing Xi’an-Janssen Pharmaceutical PK: ‘pharmaceutical industry the largest ever Business e-conflict’ Recently, a newspaper reported the Nanjing drug manufacturers to pharmaceutical companies bargain the news has aroused strong reactions. It is learned, this is called ‘the medical profession’s largest commercial enterprises in history of conflict’, originated from the low profit margins due to sales, Nanjing Medical begin from April 28 to Johnson amp;amp; Johnson announced the cessation of purchase. May 31, Nanjing Medical said that from the start June 5, Johnson amp;amp; Johnson in Jiangsu, Anhui, Fujian and other places will start to appear out of supplies in pharmacies, Nanjing Medical homogeneous low-cost medicine has been prepared to replace. Nanjing, Xi’an-Janssen Pharmaceutical while the annual sales of the drug up to 4 billion, gross profit margin was 1.74%, while distribution costs reached 3.89%, the contribution of the profit margin is negative. ‘Sold more than afford to lose more respect. ‘ Xian-Janssen, the comparison of Chinese medicine in Nanjing high-profile ‘provocation’, Johnson amp;amp; Johnson has been assumed silent gesture. Nanjing, Xian-Janssen Pharmaceutical for an open challenge to be able to be silent on this, it remains in this duel, the business force is relatively poor. After all, when compared with the national mass market, by itself, a medical power of Nanjing is still very weak. In addition, we can also imagine, may have been in Nanjing, Xi’an-Janssen Pharmaceutical’s sphere of influence within the remedial plan to start a channel to find other distributors. Regarding this case, we can learn from the parties and the patients to be analyzed from three angles: ◆ For consumers, the brand product price is high, the quality is not necessarily better than similar low-priced products. To pharmacies or hospitals, medicines, due to information asymmetry, a pharmacy clerk or a doctor prescribed any medication,