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    Home > Active Ingredient News > Drugs Articles > Will the winter of multinational pharmaceutical enterprise Novo Nordisk in China come?

    Will the winter of multinational pharmaceutical enterprise Novo Nordisk in China come?

    • Last Update: 2015-11-05
    • Source: Internet
    • Author: User
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    Source: interface Author: Xia Qingyi 2015-11-05 global diabetes sales champion Novo Nordisk also began to lay off workers in China, the country with the largest number of diabetes patients On November 3, Novo Nordisk confirmed the news to interface news The company said Novo Nordisk China did shut down some positions, including education specialists, with 130 employees affected "The main reason for this change is to reduce costs and optimize efficiency The external environment of the pharmaceutical industry has changed a lot in recent years, which has brought great challenges to Novo Nordisk's business in China We must adapt as soon as possible In order to meet these challenges, Novo Nordisk has to take some cost control measures, which, unfortunately, includes the closure of some positions " Novo Nord told the interface news reporter Novo Nordisk is a multinational pharmaceutical company headquartered in Denmark In 2014, the sales of diabetes drugs reached 11.3 billion US dollars, ranking first in the world After the establishment of overseas branches in China in 1994, Novo Nordisk's performance in China was almost all from diabetes products According to the data of diabetes drug sales in a sample hospital of Nanfang medical economics institute, recombinant human insulin accounts for 12.40%, of which Novo Nordisk accounts for 69.12%, while aspartic acid insulin accounts for 10.05%, which is the exclusive product of Novo Nordisk China's diabetes market is in a stage of rapid growth China is the country with the largest number of diabetes patients in the world At present, the number of patients exceeds 100 million IMS data shows that by 2016, China's diabetes market is expected to grow by 20% The Chinese market is also a natural place for the major pharmaceutical companies to compete Sanofi, whose sales volume is only lower than that of Nord and Nord, also signed a non binding memorandum of understanding with local pharmaceutical company Haizheng pharmaceutical this year, which is expected to establish a joint venture to specifically cooperate in the field of diabetes treatment However, the market share of recombinant human insulin of local pharmaceutical enterprises is also growing At present, five enterprises, Tonghua Dongbao Pharmaceutical Co., Ltd., Jiangsu Wanbang Biochemical Pharmaceutical Co., Ltd., Shenzhen Kexing Bioengineering Co., Ltd., Zhuhai federal Pharmaceutical Co., Ltd and Ganli Pharmaceutical Co., Ltd., have obtained approval documents The rise of domestic pharmaceutical enterprises is also squeezing the share of Novo Nordisk in the insulin market The market is gradually saturated, and the growth is inevitable Slow down The market competition is gradually fierce, and the policy preferences of multinational pharmaceutical enterprises in China disappear with the process of medical reform It is difficult to maintain the past high-speed growth in China relying on the previous sales model In addition, after GlaxoSmithKline's bribery in China, the enterprise's compliance requirements are higher The major multinational pharmaceutical companies have been adjusting their sales models and exploring new methods of medical and patient education In fact, Novo Nordisk is not the first multinational pharmaceutical company to cut jobs this year For the reasons of organizational restructuring, suspension of some businesses, cost reduction, etc., GlaxoSmithKline, Bristol Myers Squibb, Pfizer, Sanofi and other major multinational pharmaceutical companies have made personnel tailoring and adjustment On March 6, GlaxoSmithKline announced the dismissal of about 110 employees at all levels in China, including directors, regional managers and representatives, including many senior employees with five or more years of experience On June 15, dozens of pharmaceutical representatives of Bristol Myers Squibb protested downstairs at the company's Shanghai headquarters because they were dissatisfied with the company's dismissal from July 2014 to April 2015 From July 2014 to April 2015, Bristol Myers Squibb laid off nearly 1000 people, almost involving all its business units in China, becoming the largest layoff in the history of multinational pharmaceutical enterprises in China According to an industry report released on June 2 by Asia Pharmaceutical News, in the first quarter of 2015, the sales of 10 major multinational pharmaceutical companies increased by 11% on average, 1% lower than the average growth rate in 2014 The opinions on promoting drug price reform officially implemented on June 1 this year proposed that, in addition to narcotic drugs and class I psychotropic drugs, the government should cancel drug pricing, improve drug procurement mechanism, and play the role of medical insurance and fee control The actual transaction price of drugs is mainly formed by market competition This means that in the past, the preferential policy of independent pricing of original research drugs related to multinational pharmaceutical enterprises will be officially cancelled and changed to market pricing mechanism The new bidding policy is also driving down drug prices The bidding departments in some provinces have cancelled drug quality stratification, which also prevents the original research drugs of multinational drug companies from enjoying higher quality level preferences The so-called drug quality stratification is that the former Ministry of Health issued the work specification for centralized bidding and purchase of drugs in medical institutions in 2001, which reviews the drugs participating in the bidding according to the three quality levels of patented drugs, GMP certified drugs and non GMP drugs, so as to encourage independent innovation, improve the quality of drugs, introduce foreign high-quality drugs, and promote the implementation of GMP After this policy is cancelled, it is difficult to ensure that the drugs of multinational pharmaceutical companies win the bid at a price higher than that of local pharmaceutical companies Multinational pharmaceutical companies will face greater pressure of price reduction.
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