After being fired, I became the light of medicine

Chapter 70 GDP and GDP per capita
"We have recently received many complaints from 'plastic anemia patients', especially from the 'Plastic Anemia Patients Alliance', which has put a lot of pressure on us. They all hope that 'ITG human myelopoietin' can be introduced as soon as possible."

The speaker was a middle-aged white man with a Mediterranean hairstyle that was particularly eye-catching in the conference room.

"It's not just 'ITG human genotyping hormone'. There are too many videos about Huaxia on Youtube and Twitter recently. Our medical system has also received many complaints and attacks. If this continues, it is likely to cause demonstrations and strikes."

As soon as the words fell, the conference room fell silent. Everyone knew that if they got really angry, the patients and their families would really take to the streets to cause trouble.

After a moment, the white man sitting in the middle frowned and said slowly:
“So, we have to take action.”

"I suggest that we contact the Chinese manufacturer of this 'ITG human genotyping hormone' and discuss whether it can be introduced into the country."

"This will at least ease the public sentiment online and calm more people who are attacking our medical system."

"I agree!"

"I agree."

The white man's proposal was quickly approved by everyone, and the next question was who would go and talk.

Generally speaking, drugs introduced into foreign markets are negotiated through mutual communication between pharmaceutical companies. After all, this is a market-oriented commercial operation.

Soon, someone suggested:

"I think we can ask GlaxoSmithKline to come forward and talk to them."

"GSK? Yeah, I think it's good too."

GlaxoSmithKline is a global biopharmaceutical company based in the UK. Its operations cover 75 countries. Its business includes biopharmaceuticals, biological vaccines, etc. It is a true international pharmaceutical giant.

Among them, the most well-known drugs are amoxicillin and HPV cervical cancer vaccine.

When the UK National Health Centre approached GlaxoSmithKline, it agreed immediately.

Actually,
They had noticed this drug called "ITG human myelopoietin" a few days ago and had been collecting information about Tsingshan Pharmaceutical.

Just three days later, Lucas, general manager in charge of sales in the Asia-Pacific region, flew to Tsingshan Pharmaceutical.

With the previous cooperation with Fosun Pharma, when Zhang Yang learned that Lucas, the head of GlaxoSmithKline Asia Pacific, would come to Qingshan Pharmaceutical in person, he did not object and was even a little interested.

As everyone knows,

Biopharmaceuticals, new energy vehicles and electronic products are completely different in sales channels and methods.

New energy vehicles and mobile phones, such as Tesla and Xiaomi, can set up their own direct stores and directly face customers.

However, the threshold for biopharmaceuticals is too high, and most drugs can only be sold through hospitals. Therefore, "drugs entering hospitals" has become a path that every pharmaceutical company in every market cannot avoid.

In addition, the drug regulatory authorities in various countries have different standards for drug marketing. In order to market a drug, clinical trials must be redone locally. How many pharmaceutical companies have the energy to do this?

Even a strong company like Pfizer from the United States can only choose to cooperate with Huaxia Medicine when entering the Chinese market. When Hengrui Medicine sells its new drugs to the United States, it also cooperates with local American pharmaceutical companies for sales. This is already a consensus in the entire biopharmaceutical industry.

Therefore,
If Qingshan Pharmaceutical could really cooperate with a large British pharmaceutical company like GlaxoSmithKline, it would be a good choice.

In the future, we may even be able to use GlaxoSmithKline to bring other drugs into the UK more smoothly.

"Please sit down, Mr. Lucas." Zhang Yang greeted warmly with a smile on his face.

"Thank you! Zhang, I didn't expect you to be so young."

Lucas gave a heartfelt compliment and then quickly got to the point.

"Zhang, your 'ITG human myelopoietin' is very popular in our country recently, so I came here this time hoping to have a good talk with you. We want to introduce this drug to the UK."

Zhang Yang nodded slightly, motioning for Lucas to continue.

Seeing this, Lucas sat up straight and spread his hands:

"I'll just be frank. I've prepared two options for this trip. The first option is for us to sign a 'license-out agreement'. After signing, we will pay you a lump sum of licensing fees, approximately... 30 billion pounds."

"The second type... is the traditional agency model, where we purchase drugs from you as an agent and then earn the profit in the middle."

"The second type."

Zhang Yang decisively chose the second one. The first "license-out" model is a very common cross-border transaction model in the pharmaceutical industry in the past decade.

Simply put, it means selling the permanent commercial development rights of a certain market at one time, and then the production, sales, and commercialization of this drug in the region will have nothing to do with oneself.

This is very attractive to some small pharmaceutical companies that are in urgent need of monetization, but Zhang Yang does not want to lose control of "ITG epoxin" in the UK market.

Lucas shrugged. He certainly wanted to sign the first type of "license-out".

There are approximately 40 patients with aplastic anemia in the British Isles. Even if 30 people receive treatment and each injection costs £3000, the total sales would be £90 billion.

And this is only the current situation. There will undoubtedly be new patients with aplastic anemia every year. This is obviously a business that is sure to make money.

but,

Lucas exhaled softly and looked at Zhang Yang helplessly.

"Okay, Zhang, let's talk about the purchase price."

"As far as I know, the price of Fuxing Pharmaceuticals' licensed drug from your company in Southeast Asia is 4000 U.S. dollars per tube, and their purchase price should be between 2500 and 3000 U.S. dollars."

"I don't expect to be cheaper than them, what do you think of $2500 per bottle?"

2500 U.S. Dollars?

Zhang Yang smiled and suddenly stretched out five fingers.

"Let me give you a price. 5000 US dollars per bottle."

what? !

5000...US dollars?!

After the words fell, Lucas widened his eyes, unbelievable, and hurriedly said:
"Zhang, your price in Southeast Asia is only 4000 US dollars per tube, how can our purchase price be so high!"

Zhang Yang shook his head slowly and said:

"Mr. Lucas, as you know, the pricing of a drug is often determined based on the economic conditions of the local market."

"Compared to the Philippines, Vietnam and Thailand, you are a developed country with a GDP several times higher than theirs, so it is normal for the price to be higher."

"Are you right?"

Lucas was stunned for a moment. What Zhang Yang said was indeed the reality of the industry.

Generally speaking, innovative drugs in developed countries are indeed more expensive.

He nodded slightly, and suddenly felt something was wrong.

The next second, he suddenly reacted!
When I was collecting information before, the selling price of Qingshan Pharmaceutical in China was only 2800 yuan!
If we compare GDP, China's GDP is second in the world!

He said anxiously:

"Mr. Zhang, I don't agree with your GDP statement!"

"China's current GDP is already the second largest in the world, making it a truly developed country!"

"But the price of this product in China is only 2800 yuan..."

Before he finished speaking, Zhang Yang suddenly waved his hand:

"The Chinese market cannot be calculated in this way. The Chinese market is based on per capita GDP."

“GDP per capita?”

"Well, China's per capita GDP is only $1.2, which is obviously a developing country, while your UK per capita GDP is as high as $5!"

“So, $5000 a pop is no problem.”

(End of this chapter)