Chapter 871: Generic Drug Company

"Manman, you don't know the darkness in the pharmaceutical industry~"

"I really don't know, but you haven't told me either~"

"You never asked~"

Lin Ximan's tone stagnated, biting his red lips and staring at Wang Lei.

The two are like children. You look at me and say a word, and there is no reason to argue.

Wang Lei lowered his head, his expression was full of resentment and helplessness. After a long silence, he said faintly, "The major pharmaceutical companies in the United States spend a huge amount of US$6 billion each year on their so-called doctor training programs, and these training content But what is it? Either it is a valuable gift for the doctors, or it is a free holiday for them.

These companies are not thinking about pharmaceuticals at all, but how to win over hospitals and doctors. As long as the drugs produced by the companies are bought by someone, the effect is not important at all. As for the patents I take, it is worthless because they invest in bribes. The money is more than the funds invested in drug research and development~"

After a pause, took a sip of coffee, and then said, "Just last June, in the world-famous Museum of Modern Art in New York, our colleague, a pharmaceutical company, held an extremely luxurious weekend party, and the scene was heavily guarded. The layout is extraordinary, of course the boss of the pharmaceutical company is not worried about it, because all the expenses will be included in the cost of the medicine.

The doctors who were invited by the pharmaceutical company to New York to spend the weekend and attend the medical seminar to be held later, all seemed to be happy.

Because they don't have to spend a penny for this trip, all the expenses are paid by the pharmaceutical company, and there are unexpected surprises. They only need to promote the new drugs promoted by the company in the future.

The research and development cost of the main drug is only 20 million U.S. dollars, which also includes a lot of human expenditure. Of course, this drug can not kill people, but it does not help the condition. "

"Not only that, they would rather hand over valuable R&D funds to special commissioners for communication with doctors. There are about 80,000 such people in the United States. Their work is trivial and they have to communicate with doctors frequently. The most important job of giving gifts to doctors quietly is that they have to instruct doctors at any time as to which new medicine should be prescribed to patients when prescribing.

Pharmaceutical companies are pervasive, and even the annual convention of the American Medical Association, the most prestigious medical organization in the United States, cannot escape their gift bombing.

In addition, the ‘American Medical Association’ receives $2 million in sponsorship from pharmaceutical companies every year so that they can hold a drug exhibition during the ‘American Medical Association’ annual meeting.

In the final analysis, today's healthcare system is like a large-scale business. Everything from R&D to hospitals and pharmacies is measured by money. R&D personnel like us have no right to speak, let alone follow the forces. The powerful pharmaceutical companies have resisted, and there is only one dead end in the end, and there will be no second way.

Last year, a colleague was unwilling to take away the results of his hard research and development and contacted a few lawyers to sue the company. But before he went to the court, his lawyer told him that the lawsuit was not worth fighting. The company was fully prepared for wasting money. The colleagues did not give up on fighting. Needless to say, in the end, not only the results were not returned, but also a large amount of compensation was paid to the company. In the end, the job could not be kept. The industry treated him A ban was issued, there was no source of income, and his wife was scattered. He is still working in a car wash. "

The cruel reality exposed by Wang Lei caused Lin Ximan to temporarily shut his mouth, but cast a hopeful look at Yang Orange.

Yang Cheng smiled bitterly, "To be honest, I don't know much about the pharmaceutical industry, at most I am speculating about shares in some pharmaceutical companies. As for the inside story, I don't know anything. Of course, I don't know much about the darkness of the entire healthcare system. I have also heard that I am powerless to change anything, even if I can change it, I will not do it. After all, there is a huge interest in design here, as well as multiple stakeholders.

paused, and when Lin Ximan felt a little lost, the conversation turned, "However, for your face, I can help a little bit. Before that, I have to ask Leizi a few questions~"

Wang Lei nodded repeatedly, "Just ask~"

Yang Cheng organized the language, "Do you still have unpublished patents in your hand? Or is there an invention research that will yield results soon?"

Wang Lei hesitated, after all he did not resist the temptation of love, nodded and admitted that he still had a lot of dry goods in his hands, but he reminded, "Do you want me to develop new drugs?"

Yang Cheng nodded without hesitation, "I have a very good relationship with the medical center. It is not a big problem to find a sales channel. As long as the first model is successfully listed and has tangible effects, the future will be much easier. ."

When it comes to professional issues, Wang Lei is timid, his eyes are like electricity, and he stares at Yang Cheng and said, “It is very difficult. You are not in this industry and you don’t know. Nowadays, one of the tactics used by pharmaceutical companies is to apply for patent clusters. , Which means to apply for multiple patents for the same drug, and the craziest one even applied for as many as 1,300 patents for one drug.

The meaning of this approach is to delay the patent validity period of its drugs as much as possible to prevent similar drugs from entering the market.

Including industry giants such as Pfizer, GlaxoSmithKline, and Sanofi-Aventis, their R&D teams are strong and financially rich. As long as they find opponents appear, they will not hesitate to initiate litigation and interfere with the rhythm of the drug listing of the other party. Taking advantage of this period of time, the drug was vigorously imitated and launched into the market before the lawsuit had a result. With better public relations capabilities, the original manufacturer of the drug could only be acquired tearfully.

This kind of thing, the giants do it every day, they often take their opponents to court on the pretext of infringement of their patent rights, and patent disputes can take at least 3 years to produce results, not necessarily in your favor.

There is also a customary tactic, as I said before, to privately book and talk to small companies, use money to buy opponents, and get them to agree to restrict their own drug sales, or give them the right to sell. "

Yang Cheng frowned deeply, rubbing his chin, "That is to say, no matter what, we can't bypass the suppression of pharmaceutical giants including Pfizer?"

Wang Lei spread his hand, "I can't help it anyway~"

Yang Cheng's stubbornness in his bones has committed again. Pfizer is a giant, but it doesn't mean that he can't. He is a giant himself.

Wang Lei suddenly slapped his forehead, "In fact, there is no way, Mr. Yang, do you know generic drugs?"

Yang Cheng spreads out his hands. Obviously he doesn't know anything about this word, but he can probably guess that it is nothing more than a beautifying vocabulary for copycats?

Wang Lei seemed very excited, "First of all, we must understand that generic drugs are not fake drugs. The so-called imitation refers to imitating existing innovative brand drugs. Generic drugs are completely equivalent to brand drugs in terms of pharmaceutical indicators and therapeutic effects, but they are different. The point is that generic drugs are usually named after the chemical names of their active ingredients.

As far as the US market is concerned, generic drugs generally enter the market after the patent protection of brand-name drugs expires, and their prices are much lower than brand-name drugs. The most important thing is that generic drugs are subject to the same strict ZF regulations as brand-name drugs. The FDA has set up a generic drug office for overall management, which means that it is reasonable and legal to develop and sell generic drugs! "

Wang Lei got more excited as he talked about it, because he saw the dawn of the pursuit of Lin Ximan's success, and Yang Cheng heard the beautiful sound of gold coins falling.

"Moreover, in the next 10 years, the number of patent expirations of patent drugs will show explosive growth. It is conservatively estimated that the total value of brand drugs facing patent expiration will exceed US$250 billion in the next 5 years. If the price of generic drugs in the past is Looking at the ratio of 10%-20% of patented drugs, the general market of generic drugs is expected to increase by 25-50 billion US dollars, and the profits are considerable."

Yang Cheng became more and more interested, and turned sideways, "Can you talk about the specific operation method?"

Wang Lei also ignored the looming worship in Lin Ximan’s eyes. He gestured and said, “I don’t know much about it, but if you want to enter this market, you can probably divide it into two ways of playing: First, establishment. Foundry factories, recruiting a large number of ethnic minority workers, relying on cost advantages in exchange for the distribution of agents in channels;

Second, self-built sales team directly faces pharmaceutical wholesalers, retail pharmacies and pharmacy welfare management institutions (PBM) responsible for drug price negotiations, relying on brands and product lines to strive for greater profit margins.

However, there are pros and cons to both agency and self-employment methods.

If self-employment is adopted, the terminal will be directly docked. To enter the market of each state, a wholesale license is required for drugs, and the regulatory issues are also very cumbersome.

Of course, we can entrust it to an agent. This is a good way to simplify the regulations and audit process. After the drug goes on the market, the company will obtain the national drug verification number and logo of the agent, and the distributor will be responsible for direct delivery to the pharmacy.

Although the licensing application and sales process have been simplified, pharmaceutical companies will be constrained in terms of drug pricing, sales strategy, production scheduling, and market control. In other words, we can only control the production process. We can't get in touch with us, and can only make hard money.

There is no initiative at all. Once an order is received, it will be produced immediately. There will also be situations where three days of netting and two days of fishing, and temporary cancellation of orders, which leads to the amount of reserves reserved in advance to ensure supply. Tons of APIs have to be stored in warehouses. These are all issues we need to consider. "

Yang Cheng nodded, and concluded incisively, "Instability and low profit are the biggest problems of this plan, but the victory lies in the ease of entry and the simpler process. You continue~"

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