After being fired, I became the light of medicine

Chapter 37 AkaRx company comes to visit in person!

The price of "Eltrombopag" dropped from 2600 yuan per box to 1000 yuan per box within three months, which became the last straw that broke the camel's back for domestic generic "Eltrombopag" pharmaceutical companies.

At noon the next day, Beifeng Pharmaceutical had to fight for survival. The original price of "Eltrombopag" of 1700 yuan was reduced by 1000 yuan, and the latest price has dropped to 700 yuan. At the same time, Beifeng Pharmaceutical also began to take the initiative to show goodwill, hoping to be included in the medical insurance catalogue!
At this point, the prices of first-line and second-line treatment drugs for blood diseases in China have been reduced across the board.

While Eltrombopag was struggling to find a place to survive, AkaRx, a company far across the ocean, held an emergency meeting.

The meeting had only one theme, which was how to respond to Huaxia Enterprise's pricing of Qingshan Avatrombopag Tablets at 1599 yuan.

"Let me first state my opinion. I do not agree with price cuts or price wars."

"Let's take a look at some data first. Last year, we sold a total of 16 boxes of 'Avatrombopag Tablets' in the Chinese market, with sales reaching 12.6 billion yuan.

If we follow Qingshan Pharmaceutical’s price cuts, it is roughly estimated that even if the total sales volume remains unchanged, the total sales amount will drop sharply to only 3.5 million, and most importantly, our sales profit margin will drop sharply to only 400%! ”

"This profit margin is the lowest in any market we are in, so I absolutely disagree with the price cut!"

The so-called any market in the world means that multinational pharmaceutical companies will set the sales prices of drugs in different countries or regions based on local actual conditions.

Some countries will sell it cheaper, and some countries will sell it more expensive.

"Sir, I understand your feelings, but you have to understand that we can sell at such a high price in other markets because other countries don't have drugs like 'Qingshan Avatrombopag Tablets' to compete with us. Of course, we can sell at super high profits without restraint, but now it's not possible, at least not in the Chinese market..."

"Then withdraw. The price is not even as low as this in the United States. They don't deserve it! These Orientals don't deserve it!"

Exit the Chinese market?
Mike, the white man who had just refuted, couldn't help but shook his head with a wry smile, and even the conference room suddenly fell silent.

As we all know, the Chinese market is famous for its stupid people with a lot of money, especially in the pharmaceutical industry. The world's major pharmaceutical companies have completely crushed China's local pharmaceutical industry. Every original imported product not only sells very well, but can also be sold in the Chinese market at a price higher than that of other countries.

Take "Avatrombopag Tablets" for example.

Last year, the Chinese market contributed 35% of AkaRx's global profits. Who would be willing to give up such a market easily?

Just then, a middle-aged white man sitting in the middle of the conference table tapped the table lightly, breaking the silence.

He looked at the man who spoke first:

"Although Huaxia Pharmaceutical's Qingshan Avatrombopag Tablets have indeed caused us considerable trouble, we have not yet reached the point of withdrawing from the Huaxia market."

"Also, I just got a piece of news that Qingshan Pharmaceutical set the price of 'Avatrombopag Tablets' at 1599 yuan, most likely because of official pressure."

"Official pressure?"

"Yes."

The middle-aged white man in the middle nodded and continued:
"Just now, our sales partner in China, Fuxing Pharmaceutical, sent us a more detailed document. Qingshan Pharmaceutical chose to apply to join the 'Grassroots Plan' due to lack of funds. The 'Grassroots Plan' is a support plan organized by the Chinese government.

Even though Qingshan Pharmaceutical said so righteously at the press conference, they believe that all this is likely to be arranged by the government, and the price of 1599 yuan was not Qingshan Pharmaceutical’s original intention. ”

After the words were spoken, everyone in the audience fell into deep thought.

After a while, Mike, the white man who had spoken just now, nodded first.

"That makes sense if that's the case."

"According to my understanding of the Chinese government, they are under great pressure to provide medical insurance and are now unable to make ends meet. When drugs like Qingshan Avatrombopag are included in the Grain Seedling Program, they will certainly do everything they can to reduce the purchase price."

"So, I also think that 1599 yuan should be the result of their game." After saying that, another person also raised his hand.

"I agree with what Mike said, and I just noticed a detail. Qingshan Pharmaceutical was forced to join the 'Grassroots Plan' due to a lack of funds. I believe that the more people have experienced a lack of funds, the more they will value profits."

"They went through so much trouble to finally launch the product, they wouldn't just want to make a small profit from Weibo, this price is definitely not what they really want."

"Right! I agree!

In this case, I think we can talk to them. As long as we reach an agreement with them privately, even with pressure from the Chinese government, we can jointly monopolize the market and keep most of the profits!"

As soon as the words came out, everyone's eyes turned to the middle-aged white man in the middle of the conference table.

After a moment, the middle-aged white man nodded slightly:

"can!"

"After all, Qingshan Pharmaceutical is just a private pharmaceutical company. As a businessman, they have to make money and eat. I don't believe they will refuse huge profits!"

……

AkaRx is very efficient. Zhang Yang received a business call from Yuanyang AkaRx early the next morning.

"I didn't expect AkaRx to get impatient so quickly and actually call us personally hoping to meet and talk with us."

In the office, Zhang Yang shared with Ren Xiaomin with some emotion the phone call from AkaRx company half an hour ago.

Ren Xiaomin was not surprised at all and said with a smile:

"You're kidding me. Your pricing is like digging into the roots of AkaRx. It would be strange if they weren't anxious."

After that, he first filled Zhang Yang's cup with tea, and then filled himself a cup:
"How did it end? Did you decide to meet?"

"Ah."

Zhang Yang nodded.

If it were before, he might have refused directly. What's the point of seeing a competitor?

But after going through so many things, especially after several confrontations with Beifeng Pharmaceutical, he has matured a lot.

"Since they have taken the initiative to call and ask for a meeting, let's meet. It's also a good opportunity to see what they want. You can go with me then."

"okay."

Zhang Yang readily agreed, which made AkaRx even more excited and more certain of its judgment.

On the third day, Mike, the executive vice president of AkaRx and the business director of the Huaxia region, arrived in Chengdu in person. He was accompanied by Gao Qiang, a senior executive of Fuxing Pharmaceutical.

The meeting between the two parties was scheduled in a business hotel in Chengdu. When they first met, they were slightly shocked by Zhang Yang's youth, but soon the meeting got down to business.

"Zhang, excuse me for interrupting you. We came here today to discuss cooperation with you."

(End of this chapter)