As multinational pharmaceutical companies accelerate their deployment in the Chinese market, they are developing in two directions

【Pharma Network Market Analysis】Since 2022, many large multinational pharmaceutical companies, such as Pfizer, Sanofi, Amgen, Gilead, etc.
, have accelerated their strategic transformation and upgrading and opened a new round of mergers and acquisitions
.
Among them, the Chinese market is one of the key points of
development of many enterprises.
On October 28, Novartis set up a Hainan office and real-world research center in the Boao Lecheng International Medical Tourism Pilot Zone to further upgrade its strategic cooperation with the Lecheng Pilot Zone, promote cooperation and exchanges in real-world research and clinical drug research and development, and promote the development of translational medicine in Hainan and the cultivation of relevant talents, so as to accelerate the promotion of more innovative drugs to benefit domestic patients as soon as possible, and help the development of
China's medical and health industry 。 It is understood that Novartis is one of the first multinational pharmaceutical companies to cooperate with the Lecheng Pilot Zone, and 6 innovative overseas special drugs have landed in Boao Lecheng, and 8 innovative Novartis innovative drugs have been included in the Lecheng Global Special Drug Insurance
.
The industry believes that the establishment of Novartis' Hainan office and real-world research center marks a new milestone
in the cooperation between Novartis and Boao Lecheng.
On August 4, AstraZeneca, CICC Capital and Wuxi Guolian Group announced their intention to cooperate to raise a fund with a total scale of 5 billion yuan, and the first phase raised 1 billion yuan
.
The above-mentioned cooperative fundraising is the second stage of the fundraising of AstraZeneca CICC Medical Industry Fund, which is based on AstraZeneca's industrial resources and CICC Capital's financial resources, and combines Wuxi Guolian Group's local location advantages and comprehensive financial service capabilities
.
It is worth mentioning that AstraZeneca CICC Medical Industry Fund has invested in 10 medical and health innovation enterprises
more than a year after its establishment.
Of course, in addition to continuous investment in the domestic market, since the beginning of this year, cooperation between multinational pharmaceutical companies and Chinese pharmaceutical companies has also been common
.
For example, Sanofi reached a cooperation with Suzhou-based Innovent Biologics in early August, including an initial strategic equity investment
of 300 million euros (2.
07 billion yuan) in the latter.
It is worth noting that at present, while most enterprises seek changes to adapt to market development and accelerate the adjustment of strategic layout, their personnel adjustments are becoming more and more frequent
.
Since 2022, many multinational pharmaceutical companies such as Pfizer, Novartis, Sanofi, and Merck have changed
their organization and personnel in China.
According to incomplete statistics, as of August this year, at least eight senior executives of the Chinese business departments of large multinational pharmaceutical companies have left, with an average frequency of one per month; There were 24 appointments in senior management
.
Among them, it should be noted that many of the executives of multinational pharmaceutical companies have also joined local pharmaceutical companies, such as Wu Kun, who was the chief operating officer of Pfizer China, joined Jinxing Pharmaceutical as the chief commercial officer; Summer Xia, former head of Novartis' blood division, joined Haisen Biopharma as CEO.
.
.
Industry analysts believe that the actions of the above major multinational pharmaceutical companies reflect that they are reviewing their strategies, thinking about how to position their business in China, and are taking positive actions
.
On the whole, there are currently two different strategies
for multinational pharmaceutical companies.
Some of them are multinational pharmaceutical companies that want to further develop in the Chinese market, and they are constantly bringing more best-in-class, innovative drugs and therapies, and these companies may further expand in China in the future, add new businesses, and invest in new business models
.
Another part of multinational pharmaceutical companies will focus on how to better balance expectations and future risks
in the Chinese market.
Their strategy is more to cooperate with Chinese pharmaceutical companies, license out and so on, in the form of cooperation or joint ventures, to better manage some uncertain risks
in the future of the Chinese market.
However, no matter which way is adopted, the medical needs of Chinese residents have not yet been met, and at the moment of rapid development of China's medical and health industry, the general direction of multinational pharmaceutical companies to accelerate the deployment of the Chinese market remains unchanged, but it is expected to more carefully and seriously review the future strategic planning in China and continue to deepen their innovation capabilities
.
Disclaimer: Under no circumstances does the information or opinions expressed in this article constitute investment advice
to anyone.