Chinese Pharmaceutical Industry Research Articles

Structure Analysis and Forecast of Traditional Chinese Medicine (TCM) Exports to Australia Under the Perspective of Product Segmentation

Traditional Chinese medicine (TCM), as a precious treasure of China has played an indispensable role in combating the COVID-19 epidemic, and receiving widespread attention and high regard. The Chinese pharmaceutical industry is gradually on the Road of Revival. However, there are still many bottlenecks restricting internationalization of TCM. How to specifically expand the international market, optimize product structure, and enhance the competitiveness of TCM exports are key and difficult issues. In light of this, this article selects "Australia" as a typical region with a solid foundation for the development of TCM, and innovatively classifies TCM products into four major categories based on its market access policies. By applying STATA to construct an ARIMA model, this study analyzes and forecasts the total export volume of TCM to Australia, the export structure of each category, and the export value for the Q3 2024-Q2 2026 based on data from 2016 to Q2 2024. The results reveal that there is significant potential in the Australian market for the export of TCM. However, the export structure is heavily skewed towards primary products, with the growth rate of high-value-added products being relatively slow. Consequently, it is recommended to increase investment in the research and development of TCM, enhance consumer education to address cultural differences, promote the export of high-value-added products, strengthen the docking of international standards and export certification of products, reinforce brand building and bolster government guidance and talent cultivation to enhance the international competitiveness of the TCM.

The Impact of COVID-19 Pandemic on the Effectiveness of the CAPM Model: Evidence from the Chinese Market and Pharmaceutical Industry

The Impact of COVID-19 Pandemic on the Effectiveness of the CAPM Model: Evidence from the Chinese Market and Pharmaceutical Industry

Analysis of Investment Value in the Traditional Chinese Medicine Industry: A Case Study of Yiling Pharmaceutical Co., Ltd.

Over the past five years, the Chinese pharmaceutical industry has experienced new opportunities and challenges with the implementation of a new round of medical reforms nationwide. Since the outbreak of the COVID-19 pandemic in 2019, the increasing awareness of health and the continuous demand for medical services have led to a sustained growth in demand for traditional Chinese medicine products and services in China. This study takes a comprehensive fundamental analysis approach, incorporating relevant knowledge from finance, to examine the financial indicators and development of Yiling Pharmaceutical Co., Ltd., a typical company in the pharmaceutical industry. Through financial statement analysis, the profitability of Yunnan Baiyao is assessed, along with the prediction of debt-paying ability during the evaluation process. Lastly, a fundamental analysis is conducted to summarize the strengths and weaknesses of Yiling Pharmaceutical Co., resulting in the conclusion of its investment value.

The impact of corporate governance on the total factor productivity of pharmaceutical enterprises: a study based on the fsQCA method

The pharmaceutical industry is an important industry for the national economy and the people's livelihood, which is not only beneficial to the people's livelihood, but also has huge commercial value. How to promote the development of Chinese pharmaceutical industry is an urgent problem to be solved. In this study, 47 listed pharmaceutical companies are taken as cases, and Qualitative Comparative Analysis of Fuzzy Sets (fsQCA) is used to analyze the influence of five antecedent conditions on the total factor productivity of pharmaceutical enterprises from the perspective of corporate governance, and to explore the composition to Total Factor Productivity (TFP) improvement. The results are as follows. First, single corporate governance factor does not constitute the necessary condition to improve the TFP of pharmaceutical enterprises. Second, there are three configurations of high TFP of pharmaceutical enterprises, among these, two configurations belong to regulatory constraints type and one configuration belongs to the active board type. There is only one configurations to low TFP of pharmaceutical enterprises: the passive board. Based on the perspective of configuration, this paper discusses how corporate governance drives TFP improvement in pharmaceutical enterprises, which can provide systematic thinking and practical guidance for each company to promote its TFP improvement according to its own corporate structure.

Nonmarket strategy and innovation performance in pharmaceutical industry: the moderating effect of internal capability and external IT environment

Purpose The purpose of this study is to explore the relationship between nonmarket strategy and innovation performance, as well as the boundary factors that influence this relationship in the context of the pharmaceutical industry in emerging markets. Design/methodology/approach This study analyzed matched data of 227 Chinese pharmaceutical firms and two secondary databases with SPSS to examine the hypotheses. Findings Nonmarket strategy promotes the innovation performance. High level of firm internal knowledge utilization ability and strategic flexibility strengthens the effect of nonmarket strategy in promoting innovation performance, while information technology (IT) environment weakens the effect of nonmarket strategy in promoting innovation performance. Originality/value The research studies the positive impact of nonmarket strategy on innovation performance in the specific context of Chinese pharmaceutical industry, and it introduces the internal capabilities and external IT environment of the firm as moderators of the relationship between nonmarket strategy and innovation performance. More importantly, this research echoes the call for research on moderator of nonmarket strategy and identifies important boundary conditions. To the best of the authors’ knowledge, it also explores the impact of the IT environment on the implementation of nonmarket strategy for the first time, which deepens the research on nonmarket strategy’s effect on innovation.

Has the consistency evaluation policy of generic drugs promoted the innovation quality of Chinese pharmaceutical manufacturing industry? An empirical study based on the difference-in-differences model.

In March 2016, the Chinese government officially launched a nationwide consistency evaluation of the quality and efficacy of generic drugs. This paper conducted an empirical study using the Difference-in-Differences method to explore the effect of this policy on the innovation quality of China's pharmaceutical manufacturing industry and further analyzed the underlying mechanism of action. The results of the study show that the generic consistency evaluation policy has a significant promotion effect on the innovation quality of China's pharmaceutical manufacturing industry, and the promotion effect is the largest for non-state-owned enterprises and enterprises in the central region; in addition, the intensity of R&D capital investment and R&D personnel investment which play a mediating role. Therefore, we should fully recognize the positive effect of generic drug consistency evaluation policy on improving the innovation quality of the pharmaceutical manufacturing industry and pay attention to the necessity of regional coordination and unification in policy implementation and the formulation of supporting policy tools. This study provides empirical evidence for the implementation effect of the generic drug consistency evaluation policy, which can provide an essential reference for the further improvement of the procedure and the R&D decision-making of pharmaceutical enterprises.

Quantitative Analysis for Chinese and US-listed Pharmaceutical Companies by the LightGBM Algorithm.

This article aims to quantitatively analyze the growth trend of listed pharmaceutical companies in the US and China by a machine learning algorithm. In the last two decades, the global pharmaceutical industry has faced the dilemma of low research & development (R&D) success rate. The US is the world's largest pharmaceutical market, while China is the largest emerging market. To collect data from the database and apply machine learning to build the model. LightGBM algorithm was used to build the model and identify the factor important to the performance of pharmaceutical companies. The prediction accuracy for US companies was 80.3%, while it was 64.9% for Chinese companies. The feature importance shows that the net profit growth rate and debt liability ratio are significant in financial indicators. The results indicated that the US may continue to dominate the global pharmaceutical industry, while several Chinese pharmaceutical companies rose sharply after 2015 with the narrowing gap between the Chinese and US pharmaceutical industries. In summary, our research quantitatively analyzed the growth trend of listed pharmaceutical companies in the US and China by a machine learning algorithm, which provide a novel perspective for the global pharmaceutical industry. According to the R&D capability and profitability, 141 US-listed and 129 China-listed pharmaceutical companies were divided into four levels to evaluate the growth trend of pharmaceutical firms.

Presidential Attack Risk

The prevalence of social media has inspired multiple researchers to investigate the value of information on various platforms. However, most studies focus on integrating individual views (the wisdom of the crowd), and few studies investigate just one person's effect. To close this gap, this article investigates the impact of Trump's tweets on stock markets. Based on intraday stock market data, this study uses an event study to test the immediate reaction of the stock markets in both the Chinese and U.S. markets. Next, with ordinary least squares (OLS) regression, this study testes the effect of tweets' content features on the returns and volatility of the Chinese and U.S. indices. The results show that Trump's tweets impacted the financial market, especially the returns of the U.S. stock market during the COVID-19 pandemic. With additional analyses based on industry indices and time frequencies, the researchers found that Trump's sentiment on Twitter affected the Chinese financial industry during the trade war and impacted the Chinese pharmaceutical industry during the pandemic.

Does China's centralized volume-based drug procurement policy facilitate the transition from imitation to innovation for listed pharmaceutical companies? Empirical tests based on double difference model.

Introduction: The normalized implementation of the centralized volume-based procurement policy for pharmaceuticals is a concerted push for supply-side structural reform of the pharmaceutical industry in China. The impact of the centralized drug procurement policy on pharmaceutical companies' transition from imitation to innovation is investigated to test whether a positive effect occurs in the innovation landscape of the pharmaceutical market. Methods: The double difference method and a series of robustness tests were used based on data from a sample of listed pharmaceutical companies in Shanghai and Shenzhen A-shares between 2015 and 2021. Results: The study found that the centralized drug procurement policy significantly contributed to the increased intensity of innovation input in the Chinese pharmaceutical industry. In terms of regional and firm nature heterogeneity, it was found that firms in the seven provinces belonging to the three economic regions had a better increase in innovation input intensity than other regions. Firms of state-owned nature had a better increase in innovation input intensity than private companies. The mechanism test found a partial mediating effect of nearly 10% for the cost of sales rate on the innovation input intensity of listed companies and a negative mediating effect on corporate operating profit. Discussion: Further research found that the effect of centralized drug procurement policy on the improvement of innovation quality of listed pharmaceutical companies was evident. The innovation development of Chinese pharmaceutical companies no longer focused on the accumulation of innovation quantity.

How does investment portfolio change in pre and post epidemic era?--experience from Chinese medical and pharmaceutical industry

The exogenesis shock, the Covid-19 epidemic, is considered as a big shock in the financial market. The paper discussed how the investment portfolio comprising of the top ten medical and pharmaceutical stocks, changes before and after the break of epidemic. Three constraints are taken into consideration to provide more information to investors. Also, the Medical and Pharmaceutical Index instead of the market return ratio is considered as standard, allowing it much closer to the reality. The research finds that the investors have greater confidence on medical and pharmaceutical industry in the post-epidemic era than in the pre-epidemic era, presented by higher annualized average return and lower Sharpe ratio. The research of this paper will provide some portfolio-construction experience under the global negative shock. At the same time, it is also worth noting that this paper mainly focused on the changes of portfolios with the aim of creating the maximum Sharpe ratio and the minimum standard deviation under certain constraints, whose results showed that the market are having growing confidence in the medical and pharmaceutical industry in the post-epidemic era and more capital is flowing to the corporations with out-standing performance in the anti-epidemic period.

Lean strategy for data mining and continuous improvement of Chinese pharmaceutical process: a case study of sporoderm-removal Ganoderma lucidum spore powder

In the digital transformation of Chinese pharmaceutical industry, how to efficiently govern and analyze industrial data and excavate the valuable information contained therein to guide the production of drug products has always been a research hotspot and application difficulty. Generally, the Chinese pharmaceutical technique is relatively extensive, and the consistency of drug quality needs to be improved. To address this problem, we proposed an optimization method combining advanced calculation tools(e.g., Bayesian network, convolutional neural network, and Pareto multi-objective optimization algorithm) with lean six sigma tools(e.g., Shewhart control chart and process performance index) to dig deeply into historical industrial data and guide the continuous improvement of pharmaceutical processes. Further, we employed this strategy to optimize the manufacturing process of sporoderm-removal Ganoderma lucidum spore powder. After optimization, we preliminarily obtained the possible interval combination of critical parameters to ensure the P_(pk) values of the critical quality properties including moisture, fineness, crude polysaccharide, and total triterpenes of the sporoderm-removal G. lucidum spore powder to be no less than 1.33. The results indicate that the proposed strategy has an industrial application value.

Study on Carbon Emission Efficiency Evaluation and Influencing Factors of Chinese Pharmaceutical Manufacturing Industry

To measure the carbon emission efficiency of China’s pharmaceutical manufacturing industry, explore the factors affecting the carbon emission efficiency of China’s pharmaceutical manufacturing industry, and provide reference for improving the carbon emission efficiency of China’s pharmaceutical manufacturing industry and promoting the government to formulate macro policies. Based on the data of the pharmaceutical manufacturing industry in 30 provinces of China from 2010 to 2019, and based on the SBM model and ML (Malmquist-Luenberger) index model, the carbon emission efficiency of the pharmaceutical manufacturing industry was calculated and its dynamic change was investigated, and the Tobit model was further used to explore the influencing factors of the carbon emission efficiency of the pharmaceutical manufacturing industry. The carbon emission efficiency of China’s inter-provincial pharmaceutical manufacturing industry has steadily improved. The carbon emission efficiency of the eastern region is higher than that of the western region, and that of the western region is higher than that of the central region. The eastern region is dominated by technological progress, and there is room for improvement in technological efficiency. The central and western regions are dominated by technological efficiency. Compared with technological efficiency, technological progress needs to be further improved. Environmental regulation, industrial agglomeration and technological innovation level positively affect carbon emission efficiency, while foreign investment level has no significant impact on carbon emission efficiency.

Economic Policy Uncertainty, Government Subsidy and R&D Investment: Evidence from the Chinese Pharmaceutical Manufacturing Industry

Since 2008, the Chinese government has implemented a series of macroeconomic policies to avoid economic recession and to promote structural changes in the economy. While these policies have alleviated the short-run difficulties in the Chinese economy, they have increased economic policy uncertainty. Firms are an integrated part of the macroeconomy, and economic policies and government actions have a great impact on their innovation activities. The study attempts to explore the relationship among economic policy uncertainty and government subsidy with corporate R&D investment, using panel data from 146 listed firms in China's pharmaceutical manufacturing industry between 2011 and 2020. A further test for robustness of the models under the dynamic generalized method of moments estimation shall be conducted. The research results indicated that economic policy uncertainty has a negative association with R&D investment. And government subsidy plays a significant positive moderating effect between the economic policy uncertainty and R&D investment. Based on the results, it recommended that the government should enhance financial subsidies to help firms alleviate the negative effect of the economic policy uncertainty on R&D investment.

Employee Adversarial Growth Driven by Organizational Learning in the Chinese Pharmaceutical Industry

The spread of the COVID-19 pandemic has brought unprecedented challenges to pharmaceutical companies and their employees. Over the past three years, intensive antipandemic tasks have placed high demands on the physical and mental strength of pharmacy professionals. By using a questionnaire, data were collected from 391 technicians in pharmaceutical companies from southern coastal areas of China. The study examined the influence mechanism of organizational learning on employee adversarial growth with the moderating effect of resilience. Our analysis shows that adaptive and experimental learning promote employee adversarial growth by enhancing individual role-breadth self-efficacy. Moreover, resilience reinforces the positive effect of organizational learning on role-breadth self-efficacy. The results imply that in a complex and changing environment, experimental learning has greater value for organizations to respond to crises and enables employees to promote personal growth.

Sustainable Membrane Technologies for By-Product Separation of Non-Pharmaceutical Common Compounds

The Chinese pharmaceutical industry and traditional Chinese medicine (TCM) are both vital components of Chinese culture. Some traditional methods used to prepare TCMs have lost their conformity, and as a result, are producing lower-quality medicines. In this regard, the TCM sector has been looking for new ways to boost productivity and product quality. Membrane technology is environmentally-friendly, energy-saving technology, and more efficient than traditional technologies. Membrane separation is the most effective method for separating and cleaning the ingredients of the non-pharmaceutical common compounds from traditional Chinese medicine (TCM). Membrane technology is currently being employed for the concentration, purification, and separation of TCMs. This review paper discusses how membranes are fabricated and their role in non-pharmaceutical common compound separation and TCM purification. Accordingly, the membrane applicability and the technological advantage were also analyzed in non-pharmaceutical common compound separation. Researchers pay attention to the choice of membrane pore size when selecting membranes but often ignore the influence of membrane materials and membrane structure on separation, resulting in certain blindness in the membrane selection process.

Research on The Influence of ESG Information Disclosure on Enterprise Financial Risk

Based on the data of Chinese A-share pharmaceutical industry companies from 2017 to 2020, this paper analyzes the impact of ESG information disclosure on financial risk. The results show that good ESG information disclosure can significantly reduce the financial risk of enterprises. The effect of ESG information disclosure on financial risk control of non-state-owned enterprises is more prominent, and the higher the degree of marketization, the more obvious the positive effect.

Innovation Efficiency of Chinese Pharmaceutical Manufacturing Industry from the Perspective of Innovation Ecosystem

Improving innovation efficiency is of great significance to the sustainable development of the pharmaceutical manufacturing industry as well as the regional economy. To measure the efficiency of the innovation process from the perspective of the ecosystem, a model, including three head-to-tail stages, namely the innovative production process, innovative integration process, and innovative application process, is established. The DEA-Malmquist index is used to evaluate the static and dynamic innovation efficiency of the Chinese pharmaceutical manufacturing industry from 2009 to 2020. The results show that the overall innovation efficiency of the pharmaceutical manufacturing industry fluctuated, and the industry has not yet achieved steady growth in innovation efficiency during 2009–2020. Cross-sectional data comparisons found that there are significant differences in innovation efficiency among provinces. To improve the innovation efficiency of the Chinese pharmaceutical manufacturing industry, several suggestions are proposed, such as improving the technical efficiency, improving the efficiency of the whole process in innovative ways, and bridging the gap in innovation efficiency across regions.

Professor Bin Xu, a Legendary Pharmacologist in People’s Republic of China

Abstract: Professor Bin Xu was a pioneer pharmacologist of People’s Republic of China, especially anti-cancer drug pharmacology. His expertise ranged from drug efficacy screening, molecular biology, drug targeting and clinical applications. As one of the legendary figures (highest-ranking scientist of pharmacology in China), his contributions to the Chinese pharmacology and pharmaceutical industry were enormous and far-reaching. His long scientific career has greatly contributed and has a strong impact on People’s Republic of China. This article describes the engagement and major contributions of Prof Xu (including childhood history, medical experience, experimental work, pharmacology investigations, graduate education, clinical studies, major scientific contributions, social engagements, and global influence). It is necessary to review his invaluable contributions to China and find new light for the Chinese pharmaceutical industry.

Development of a novel MR‐conditional microwave needle for MR‐guided interventional microwave ablation at 1.5T

To develop an MR-conditional microwave needle that generates a spherical ablation zone and clear MRI visibility for MR-guided microwave ablation. An MR-conditional microwave needle consisting of zirconia tip and TA18 titanium alloy tube was investigated. The numerical model was created to optimize the needle's geometry and analyze its performance. A geometrically optimized needle was produced using non-magnetic materials based on the electromagnetics simulation results. The needle's mechanical properties were tested per the Chinese pharmaceutical industry standard YY0899-2013. The MRI visibility performance and ablation characteristics of the needle was tested both in vitro (phantom) and in vivo (rabbit) at 1.5T. The RF-induced heating was evaluated in ex vivo porcine liver. The needle's mechanical properties met the specified requirements. The needle susceptibility artifact was clearly visible both in vitro and in vivo. The needle artifact diameter (A) was small in in vivo (Ashaft: 4.96 ± 0.18 mm for T1W-FLASH, 3.13 ± 0.05 mm for T2-weighted fast spin-echo (T2W-FSE); Atip: 2.31 ± 0.09 mm for T1W-FLASH, 2.29 ± 0.08 mm for T2W-FSE; tip location error [TLE]: -0.94 ± 0.07 mm for T1W-FLASH, -1.10 ± 0.09 mm for T2W-FSE). Ablation zones generated by the needle were nearly spherical with an elliptical aspect ratio ranging from 0.79 to 0.90 at 30 W, 50 W for 3, 5, 10min duration ex vivo ablations and 0.86 at 30 W for 10min duration in vivo ablations. The designed MR-conditional microwave needle offers excellent mechanical properties, reliable MRI visibility, insignificant RF-induced heating, and a sufficiently spherical ablation zone. Further clinical development of MR-guided microwave ablation appears warranted.

Knowledge recombination, environmental turbulence and firms' innovation quality: the evidence from Chinese pharmaceutical industry

PurposeShifting focus from innovation quantity to innovation quality becomes a priority in innovation study, business and policy. This paper aims to figure out whether and how knowledge recombination (recombinant exploration/recombinant exploitation) affects firms' innovation quality (technological value/economic value) and how these relationships are moderated by environmental turbulence (technological turbulence/market turbulence) in the context of open innovation.Design/methodology/approachA panel data set is built on 373 Chinese pharmaceutical firms' patents and new product data from 1997 to 2020. And a negative binomial regression model is applied to test the hypotheses.FindingsThe analyses indicate that (1) recombinant exploration favors technological value but hinders economic value, while (2) recombinant exploitation benefits both. Regarding environmental turbulence's moderating effects, (3) technological turbulence has opposite moderating effects on the impacts of recombinant exploration versus exploitation on technological value, whereas (4) market turbulence benefits the impacts of both on economic value.Practical implicationsThis research provides the answer to practitioners' question that “How to improve innovation quality?” That is “Think from a recombination logic, clarify your internal value preference and the external turbulence.”Originality/valueFrom an emerging perspective of innovation, this research expands the innovation quality research to a recombination logic. A multi-dimensional research framework is developed to clarify the complex relationships between knowledge recombination and innovation quality. Finally, two moderators, technological versus market turbulence, formulate more targeted implications for firms' innovation management in open innovation.