China Report12

7/31/2019 China Report12

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country report china

OVERVIEWplai: 1,338,299,511

Lif xa: 73

Mal: 71

Fmal: 75

GDp Gwh (aal): 10.4%

GnIper capita ($): $4,270

Halha xdi al f GDp: 4.6%

caial: Beijing

Had f gvm: President Hu Jintao

Halh Miis: Dr Chen Zhu

Lagag: Mandarin Chinese

c: Renminbi

(Source: World Bank 2010)

for Chinas population of 1.3 billion

TheintroductionofuniversalhealthcaremeansChina willhave

to invest heavily in improving its infrastructure in order to

extendservicestodifficult-to-reachruralareas

Efforts havealso beenmadebythegovernmenttoestablish

a transparent purchasing system of essential drugs. An

open tender and bidding system is now the standard drug

procurementmechanismforreimburseddrugs

In2011,ChinaovertookGermanytobecometheworldsthird-largest pharmaceutical market with sales of approximately

$52.3bn

Generic drugs are the mainstay of Chinas pharmaceutical

industry.Thevalueofthegenericdrugsectorwasanestimated

$33bnin2010

Almost halfofthe top10pharmaceutical companiesin China

aremultinationalsbutnoneofthemcontrolsmorethan2.5per

centofthetotalmarket

The government actively promotes innovation in traditional

Chinesemedicine,whichcontinuestoenjoygrowingsupportin

Chinaandglobally.TheseinnovationsincludebuildinganR&D

system,facilitatingtechnologytransfersintothe industryand

improvingR&Dmanagementandqualitycontrol Chinahastheworldsmostattractiveemergingmedicaldevice

market.Demandisdrivenbyincreasingprevalenceof chronic

diseases, modernisation of healthcare facilities, a greater

uptakeofdiagnosticproceduresandanageingpopulation.

COUNTRY REPORT

EXECUTIVE SUMMARY AccordingtotheWorldBank,Chinabecametheworldssecond

largesteconomyin2010

In2009,theChinesegovernmentannouncedan unprecedented

healthcarereformplantosupportuniversalhealthcarecoverage

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Macro operating environMent

ThePeoplesRepublicofChinaistheworldsmostpopulouscountry

withapopulationofmorethan1.3billion.Chinaisgovernedby

the Communist Party of China. It exercises jurisdiction over 22

provinces, five autonomous regions, four directly controlled

municipalities(Beijing,Tianjin,ShanghaiandChongqing)andtwo

mostlyself-governingspecialadministrativeregions(SARs),Hong

KongandMacau.

According to the International Monetary Fund (IMF), Chinas

annual average GDPgrowthbetween2001 and 2010 was10.5

per cent and the economy is predicted to grow at an average

annualrateof9.5percentbetween2011and2015.Between2007

and2011,Chinaseconomicgrowthratewasequivalenttoallof

theG7countriesgrowthcombined.Asof2012,itistheworlds

second-largesteconomy,aftertheUS,bybothnominalGDPand

purchasingpowerparity(PPP).

Since the introduction of market-based economic reforms in

1978, China has become the worlds fastest-growing major

economy. Today, itis estimatedthat more than1 millionof its

populationhasanetworthofmorethan$1.5m.In2010,health-careexpenditureinChinareached$249bn.Ithasbeenforecast

thatthissumwillriseto$446bnby2015.

HealtHcare ServiceS

Theprovision ofhealthcare services ismainly based ongovern-

ment-managedpublichospitals.Currently,90percentofallhospi-

tals are public hospitals, which are under theChina Ministryof

Health,provincialhealthbureauormunicipalhealthbureau.Public

hospitalsarefurthercategorisedintothreeseparatetiersbythe

MinistryofHealth,wheretier1isthelowesttierandtier3isthe

toptierintermsoffacility,levelofserviceprovidedandtypeof

hospitaladministrationavailable.Teachinghospitalsandmilitaryhospitalsareusuallytier3institutions.

HealtHcare reforM

Healthcare reformplansto expand medicalinsurance coverage,

strengthenpublichealthinfrastructureandimproveruralhealth-

care services will increase access to newer therapies. For the

pharmaceutical industry, the single biggest factor shaping the

landscapeisthehealthcarereformplanof2009.Thisreformplan

is anchored on thetwo pillarsof accessibility and affordability,

whereinthegovernmenthaspledgedapproximately$124bnover

threeyearstoundertakeatwo-phaseplan.

The first phase aims to increase accessibility through: the

buildingofanetworkofbasichealthcarefacilities;expansionof

thepublicmedicalinsurancesystemtocover90percentormore

ofthepopulationandreformofthedrugsupplysystem.Todate,

at least 1,000 county hospitals have been modernised, while

another 1,000 have been upgraded. Plans are in place for the

developmentofafurther30,000hospitals,carecentresandclinics

acrossthecountry.ThereformofhospitalsinChinaisexpectedto

accelerate,drivenbytheemergenceofclearerpoliciesgoverning

the payment mechanism between payers and providers. In

addition,itisexpectedthatanincreaseinfundingfrombothlocal

and overseas sources will lead a wave of hospitalprivatization

involvingnewaswellasexistingassets.The second key aspect of the healthcare reform is the over-

HealtHcare SySteM in cHina

The reform of hospitals in China

is expected to accelerate, driven by

the emergence of clearer policies

governing the payment mechanism

between payers and providers

Halha Ssm i chia

Hsials

piva Hsials (10%)

Milia pbli tahig ca

Gvm Hsials (90%)

oh Halha Isiis

oai dams & lii;Saaim, cDc,

Sialisd Disas pvi& tam Isi;

Halh Svisi Isi


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haulingoftheNationalEssentialDrugList(NEDL)andtheNational

ReimbursementDrugList(NRDL)bythegovernment.Inthepast,

hospitals were paid a commission based on the cost of drugs

prescribed. This commonly led to patients receiving medicines

unnecessarily.Furthermore,between1990and2000,price-fixing

practicesbydrugmanufacturersresultedinthecostofmedicines

soaring.Suchpracticeshavesincebeencurbedandmedicinessold

inChina,primarilythoselistedontheNEDL,aresubjecttoprice

controlbythegovernment.Inaddition,hospitalsandretailphar-

maciesareprohibitedfromaddingmarginstodrugproductsales;

apharmacyfeeisaddedtoeachphysiciansprescriptioninstead.

The National Development and Reform Commission (NDRC) is

chargedwithdefiningdrugpricing.InAugust2009,theMinistry

ofHealthreleased a list of307 essential medicines that would

beavailableatheavilysubsidisedprices;sometwomonthslater,

theNDRChadslashedthepricesof45percentoftheseessential

medicines,includingthoseusedtotreatcolds,fever,hypertension,

heart diseaseand diabetes. In a more recent further shake-up,

theNDRCannouncedplanstocurbthepricesofessentialdrugs

producedbyforeign-fundedfirms.Thiscategoryhad,inthepast,been excluded from price reductions as a way to encourage

researchanddevelopmentinvestmentinChina.

reiMburSeMent

The governance of healthcare reimbursement and insurance

policies in China is both diverse and complex. One explanation

forthecomplexityisthatlocalgovernments are entrustedwith

significantpowertomakedecisionsontheuseofdrugs.Whena

drugislistedontheNRDL,itmeansthatitbecomesavailableto

themasspopulationandisalsocoveredbyvariousmedicalinsur-

anceschemes.Reimbursementbythegovernmentmeansdrugs

aremoreaffordableto patients andthereis a highwillingnessamongphysicianstoprescribe.

Effortshavealsobeenmadebythegovernmenttoestablish

a transparent purchasing system for essential drugs. An open

tender andbidding systemis now the standard drug procure-

mentmechanismforreimburseddrugs.Theselectionofproducts

ismadebytenderingcommitteesofeachprovinceinChinaand

tendersareusuallyissuedannuallyorbienniallyforclustersof

hospitalswithinaprovince.Itisestimatedthatmorethan80per

centofalldrugssoldthroughhospitalsarenowbeingpurchased

throughthebiddingprocess.

DiSeaSe burDenChinaiscurrentlycontendingwitharangeofcommunicableand

non-communicablediseases. Itis estimatedthat by2030, more

than 17 million disability-adjusted life years (DALYs) and more

than141 million DALYswill be lost to communicable and non-

communicablediseases,respectively.

LeadingpublichealthissuesincludeHIV/AIDS,cancer(stomach,

lung,liver,cervical,breast)andheartdiseases.Inaddition,infec-

tiousdiseasessuchashepatitisandtuberculosispresentmajor

problems in some areas.Furthermore,the National Centre for

SexuallyTransmittedDiseasesControlestimatesthatthenumber

ofsyphiliscaseshasincreased10-foldoverthepastdecade.

TheWorldHealthOrganisation(WHO)hasindicatedthatChinais

threatenedwithoneofthemostrapidlyexpandingHIVepidemics

intheworld.Itisestimatedthattherearemorethan10millionHIV

sufferersinChinatoday.Between2006and2011,thecosttothe

countryasaresultofHIV/AIDShasbeenputat$40bn.

China also hasthe worlds second largest incidence ofcancer.

Eachyear,2.2millionnewcancerpatientsarediagnosed,withthe

maintargetorgansbeingliver,lungsandstomach.Approximately

400,000 patients are newly diagnosed with stomach cancer

annually, with a rising prevalence in the number of younger

patientsdiagnosedwiththedisease.

AsthepopulationofChinaagesandincreasinglyadoptsWestern

lifestyles,theburdenofbothchronicdiseaseaswellascardiovas-

cularandmetabolicdiseaseswillrisesignificantly.Astudyunder-

taken by the China National Diabetes and Metabolic Disorders

StudyGroupreportedthattheprevalenceofdiabetesinChinawasapproximately 10 percent, accountingformorethan 92million

people.In2005,cardiovasculardiseasewasestimatedtoaccount

foronethirdofalldeathsinChina.By2020,itisestimatedthat

the number of deaths due to cardiovascular disease will have

doubled. Forecasts estimate that the country will lose $556bn

between2005and 2015 as a resultof directand indirect costs

imposedbyheartdisease,strokeanddiabetes.Indeed,oneofthe

mostimportantgrowthareasinthepharmaceuticalmarketwillbe

hypertensiondrugs,withthemarketexpectedtodoubleby2014,

duetogreaterdiseaseawarenessandtheincreasingprevalenceof

contributoryfactorssuchasobesity.

Chronic obstructive pulmonary disease (COPD) is predicted to

causetensofmillionsofdeathsoverthenext25years.Expertsareoftheopinionthatifthecurrenttrendsfortobaccosmokingand

solidfuelusecontinue,deathsfromrespiratorycausescouldtop

65millionoverthenexttwodecades.

AnotherimportantandserioushealthprobleminChinaishepa-

titis.Thecarrierrate ofhepatitis B inChinais approximately10

Reduce the cost of medical services

TheNEDLisapplicabletogovernment-fundedhospitals,grass-rootsclinicsandotherhealthinstitutions

The2009listcontains307essentialdrugs,ofwhich102aretraditionalChinesemedicines

MedicineslistedintheNationalEssentialDrugSystemaresubjecttopricecontrolbythegovernment

Upgradeofinfrastructure Thebuildingormodernisationof30,000hospitals,carecentresandclinicsbytheendof2011Enlargeinsurancecoverage Insurancecoveragetoreachmorethan90percentofthepopulationbyend2011;andeveryoneby2020

Reformofthedistributionmodel

Alllisted essential drugs areincludedin Chinas National Reimbursement Drug List (NRDL)andenjoy

higherreimbursementratesthannon-essentialdrugs

TheNRDLsetsthepercentageofdrugcostsreimbursedundernationalinsurance

iMplicationS of HealtHcare reforM planS

As the population ages and

increasingly adopts Western

lifestyles, the burden of chronic

disease as well as cardiovascular

and metabolic disease will rise




in the next few decades if the urbanisation rate achieves the

expectedrateofmorethan50percentoverthenext10to15

years.Itssocioeconomicdevelopmenthasbeenaccompaniedby

lifestyleanddemographicchangessuchasWesterndietaryhabits,

reduced levels ofphysical activity, urbanisationand high preva-

lenceofsmoking.Theemergenceofmedicalconditionsresulting

fromimprovedsocioeconomicstatusposesaserioushealththreat

giventhatthecountryisstillcopingwithinfectiousdiseasesand

malnutrition.

pHarMaceutical Market

Chinasstatusasoneoftheworldslargestpharmaceuticalmarkets

restsprimarilyonitspopulationsize,ratherthanits maturity.The

Chinese drug market comprises a complex system of regional

markets where manufacturingis dominated bygenerics and the

majorityofsalesfromover-the-counter(OTC)drugs.

Combined sales of prescription drugs and OTC medicines have

increased by 22per centfrom $52bn in2010 to $67bn in2011.

Stronggrowthingovernmentfundingofhealthcareandariseinspendingby anincreasinglyaffluentmiddleclass areexpectedto

helpChinaovertakeWesternmarkets.

In 2011, China overtook Germany to become the worlds third-

largestpharmaceuticalmarketbehindJapan.Withitsvolumeand

20percentannualgrowthprojection,Chinaissettobecomethe

worldssecondlargestpharmaceuticalmarketby2015.

Prescriptiondrugsalesaresettoreach$70bnbytheendof2014.

TheOTCmedicinesector,whichwasapproximately$15bnin2010,

is also set to continue to grow, albeit more slowly. In 2009, the

averageannualgrowthwasarelativelymodest7.7percent.Thekey

driverfortheOTCmarketis thepopularityofpreventivemedicine

coupled with the growing numbers of health-conscious Chinese

people in urban populations. This has resulted in more peoplevisitingdrugstoresandbypassingphysiciansaltogether.

generic DrugS Market

GenericdrugsformthebackboneofChinaspharmaceuticalindustry.

Approximately98percentofthemorethan5,000pharmaceutical

companies in the country manufacture generic drugs. The low

per capita income and theinsufficient health insurancecoverage

continuetolimitaccesstohealthcareanddrugaffordabilityfora

largeproportionofthepopulation.Thelackofreimbursementleads

tolimitationsintheuptakeofmanynovel,premium-pricedthera-

pies.Consequently,theuptakeofcheaper,generictherapiesshows

nosignsofslowing.Itisforecastthatthegenericdrugsmarketwill

continuetogrowrapidlyataCompoundAnnualGrowthRate(CAGR)

of12.9percenttoavalueof$57.1bnby2014.

As patents expire for major products, especially blockbusterdrugs,Chinesecompaniesarewaitingtocapitaliseontheoppor-

tunities afforded by the loss of patent protection. Nevertheless,

theexpecteddecreaseinthepricesofgenericdrugs(by20-25per

cent)islikelytoleavemanysmallerplayersunabletocompete,thus

resultinginmarketconsolidationoverthelongerterm.Formultina-

percent,whichisamongthehighestlevelsintheworld.Despite

theavailabilityofavaccine,uptakeinChinahasbeenslow.With

regardtohepatitisC,theWHOestimatesthatmorethan40million

ofthepopulationcarrythevirus.

Chinas ageing population is another significant healthcare

concern.In2009,12.5percentofthetotalpopulation(approxi-

mately167millionpeople)wasaged60orolderandalmost19

millionwereoctogenarians.Seniledementiaisacommondisease

amongtheelderlyandithasbeenconservativelyestimatedthattherearebetween6and8millionsufferers,includingthosewith

Alzheimersdisease,vasculardementiaandotherclinicalmanifes-

tations.Worryingly,recentfiguresshowthatmorethan300,000

newcasesofAlzheimersdiseasearediagnosedinChinaannually.

Industryexpertshavedrawnattentiontotheneedforearlydetec-

tionandpreventionofthedisease.

ItisestimatedthatChinawillcompletetheurbanisationprocess

Source: 2009 Information Explorer Ltd (IEL)/BMI

Market SegMentation

Mdial dvis

tadiial chis

Mdiiohs

ov-h-c dgspsii dgs

Senile dementia is a commondisease among the elderly and it has

been conservatively estimated that

there are between 6 and 8 million

sufferers

Generic drugs form the backbone

of Chinas pharmaceutical industry.

Approximately 98 per cent of the

pharmaceutical companies in the

country manufacture generic drugs

6%8%

15%

38%

33%


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tionals,lossofincomefromexpiringpatentsisakeycompetitive

issuethatwillprobablydictatetheformation ofstrategicplansto

acquirenewrevenuestreams.

counterfeit MeDicineS

The counterfeit medicines industry continues to proliferate. It

is estimated that thecombined streetvalue ofthe products, if

sold as genuine goods, stands at $315m. Several reasons have

been postulatedforthegrowthin thesaleoffakemedicines in

China.Theseincludeshortageofmanpowerforlawenforcement

agencies and lenient sentencing for those convicted that have

failedtoactasaneffectivedeterrent.

Peoplewillalwaysfindalternativewaysofgettinginexpensive

drugs,statedNathanSigworth,CEOofPharmaSecure.

The penetration of counterfeit medicines into mainstream

dispensingfacilitieshasalsobeenconfirmedwiththediscoveryof

fakeproductsbeingusedinonetop-tierhospitalinChina.

FakePfizermedications have breached thelegitimate supply

chain in China, confirmed John Clark, chief security officer for

Pfizer. Such developments have driven the implementation

of aggressive anti-counterfeiting campaigns by pharmaceutical

companiesoperatingthere.Theseactivitiesincluderaisingaware-ness of the problem, education and training for enforcement

authorities on distinguishing between genuine and counterfeit

pharmacologicalproducts,aswellasthedetectionanddisruption

ofthemanufacturinganddistributionprocesses.

Inrecognitionofthegrowingproblemofcounterfeitmedicines,

theMinistryofPublicSecurityspearheadsnationalcampaignsto

combat thecounterfeiting ofmedicines. Seizures todate range

fromprescriptionmedicinestotraditionalChinesemedicinesand

health-enhancementproducts.

traDitional MeDicineS

TraditionalChineseMedicines(TCMs)continuetoenjoyhighpopu-larityin China.TCMsareconsideredeffectiveandsafeandcan be

administeredwithoutconflict alongsideWesternmedicine. Thisis

becauseWesternmedicineisseenastreatingthesymptomsofthe

disease,whileTCMsgototherootofthecause.Asaresult,itisnot

uncommonforpatientsinChinatoseekandreceiveWesternmedi-

cation and traditional medicines simultaneously to treat serious

conditionsincludingdiabetesandevenoncologicaldisease.

MeDical Device Market

The medical device market in China is expanding rapidly. It is

consistently reporting double-digit annual growth. In 2009, its

market size was valued at approximately $25bn. This representsgreat potential for the future since the current market in China

accountsforonlyapproximately5percentoftheworldsmedical

devicemarket.Akeydriverofthemedicalequipmentmarketisthe

increaseinprivateinsuranceandthesaleofstate-ownedhealthcare

facilitiestoprivateequity.

HealtHcare coMMunicationS

Digital healthcare is an increasingly important communication

toolthatcontinuesto offerunlimitedpotentialforfurthergrowth.

Consumersareproactiveinutilizingtheinternetforresearchinto

medicinesaswellasspecificdiseasesandtheirtreatmentoptions.

Indeed,morethan50percentofnetizensinChinausetheinternet

to search for information on new medicines, including pricing,

drugefficacyandsideeffectsaswellasforpatienttestimonials.

Largeonlinecommunitiesarealreadywellestablishedforboth

thelay public and forhealthcare professionals. Social media also

continuestogrowinpopularityandplaysanincreasinglyinfluential

roleforuserstodecidetheirhealthcarepractices,throughphysician-

patientdiscussionforums,patientgroups,diseaseforums,blogsand

videotestimonials,amongmanyothers.

Inresponsetothechangingneedsoftheconsumer,healthcare

companies have embarked on building the necessary digital

platforms to support a diverse range of tailored communication

programmes.

TheuseofdigitalchannelsinChinaspansallmajordiseaseareas,

includinghypertension,diabetes,dementiaandCOPD.Innovationsinmobilehealthcareapplicationshaveledtothedevelopmentofa

diverserangeofconsumer-friendlydigitalhealthcareprogrammes

andapplications.

MeDical eDucation

Chinasboomingeconomyhasputthecountryfirmlyinthesights

ofglobalpharmaceuticalcompaniesforfurthergrowth.Asaresult,

thedemandforproductdifferentiationisparticularlyimportantin

acrowdedandhighlycompetitivemarket.Nomatterhowpharma-

ceuticalcompaniesdecidetopromotetheirbrands,theyneedto

helpphysiciansandotherinfluencersunderstandbrandattributes

andusethemtoselectpharmacologicalinterventions.Thepharmaceuticalindustryspendshugesumsofmoneyonclinical

The penetration of counterfeit

medicines into mainstream

dispensing facilities has also been

confirmed with the discovery of fake

products in one top-tier hospital

OnlineContinuingMedicalEducation(CME)

WebVideoConferences(Webinars)

Tablete-Detailing

MobileHealthcareApplications

SearchandSocialMedia

coMMon Digital coMMunicationS prograMMeS

Patient diaries

Buildawarenessofdiseasesymptomsandeffectonqualityoflife

Medication Managers

Remindersformedicationtimes,drugdosages

Promotespatientsadherenceandcompliancetotreatment

Symptom Measurement Tools

Forabroadspectrumofclinicalspecialities(forexample,tremors,

cholesterol,hypertension,vascularage)

Health Alerts

Weather(commoncold/influenza)

Pollencounts(allergies)

Pollution(asthma)

Mobile HealtHcare applicationS




trialsbut,evenwhentheyarehighlysuccessful,oftentheevidence

fromthesetrialsisnoteffectivelytranslatedintotimelychangesin

practice.Theproblemofhealthcarepractitionersnotimplementing

theevidenceofresearchisalongstandingone.Inspiteoftheavail-abilityofpublishedguidelinesandtheeffortsputintocontinuing

medicaleducation,manyphysicianssimplydonotfollowguidelines

evenwhentheyacceptthevalueofanevidencebase.

Medicaleducation,whenexecutedunderanoverarchingstrategic

communicationplatform,hasthepotentialtocohesivelydrivean

integratedcommunicationspackage.Itcanbeusedbothtoraise

awareness of specific conditions and their treatment as well as

moredirectlyraisingawarenessofa particularproduct.Activation

ofevidencecanbeseenasalegitimateapproachbypharmaceutical

companiestoaddresschallengesofknowledgetranslationthrough

theprovisionofbenefitstoallparticipantsandstakeholders.

Forpatients,theprogrammeshelp toprovideoptimalevidence-

basedtreatmentsthathaveshownthebestoutcomesforsimilar

patients. Healthcare providers will get the tools, support and

feedbackmechanismstheyneedtoappropriatelyimplementand

accurately assess the impact of newtreatment practices,instead

ofrelyingonthetraditionalad hocapproachoftryingnewertreat-mentsonafewsuitablepatientstoinformallyassesstheirbenefits.

From the pharmaceutical companys perspective, activation of

evidenceinitiativeswillincreasereturnontheinvestmentthatgoes

intoclinicaltrialdesignandexecutionbyapplyingfindingsinthe

real-world clinicalsetting. Furthermore, expertusage ofstrategic

medical education can aid pharmaceutical companies to develop

and strengthen relationships with Key Opinion Leaders, improve

access,andenhancetheimageofthecompanyanditsproducts.

SuMMary

Chinaseconomicandsocialreformsoverthepasttwodecadeshave

been met with tremendous success. The importance of modern-

izingthenationalhealthcaresystemhasbeenrecognisedwiththe

recentradicalhealthcarereformplanandheavyinvestmentbythe

government.Theimplicationofthesereformsisthatthehealthcare

marketinChinaremainsoneofthehotspotsforinvestmentforthe

foreseeablefuture.

As the most attractive emerging pharmaceutical market, China

continues to enjoy strong growth. The market share for prescrip-

tiondrugsislikelytorise,attheexpenseofOTCs.Furthermore,the

expectedincreaseindemandfortreatmentsinspecifictherapeutic

areas such as cardiovascular disease and neuroscience, combined

with the rising health expenditure and the continued perception

ofhospitalsastheprimarysourceoftreatment,aresettobekey

driversofgrowth.However,thesignificanceoftraditionalmedicines

cannotbeoverstated,giventhattheseinterventionshaveafirmly

entrenched position in Chinese society and continue to generatehugerevenuesformanufacturers,TCMpractitionersandretailers.

Thecountryalsohastheworldsmostattractiveemergingmedical

devicemarket.Demandwillbedrivenbymorechronicdiseases,the

modernisationofhealthcarefacilities,agreateruptakeofdiagnostic

proceduresandanageingpopulation.

Withtheincreasingsophisticationandmaturationofthehealthcare

infrastructureandsystem,effectivecommunicationandcommunica-

tionchannelsbetweendifferenthealthcarestakeholdergroupshave

become a top priority. Medical education has evolved greatly in

improvingitseffectivenessandremainsfirmlyrelevantthroughout

thelife cycleof a product, from pre-product licence application to

maturity.However,toensuremaximumefficacyandcost-effective-

ness,itisessentialthattheappropriatetacticisusedattherighttime.ThefutureforthedigitalhealthcareindustryinChinaalsolooks

extremelybright.Itisexpectedthatinnovationsinthedigitalspace

willuncovere-solutionsforkeyareaspertinenttothehealthcare

sector,includingbusinessstrategy,marketaccessmattersaswellas

regulatoryandlegalconsiderations.

Withtheongoinginputandcommitmentofmultifunctionalkey

stakeholders, the vision ofevery Chinese citizenenjoying afford-

able, high quality healthcare appears both highly laudable and

achievable.

th AhWritten by Complete Medical Group China McCann

Healthcare Worldwide. Contact: Cheuk Lee,general manager, Complete Medical Group China.

Activation of evidence initiatives will

increase return on the investmentthat goes into clinical trial design and

execution by applying findings in real-

world clinical settings

Medical education, when executed

under an overarching communication

platform, has the the potential

to cohesively drive an integrated

communications package

For comprehensive reports on other countries,

go to www.pmlive.com/countryreports

or scan the QR code.

Attitude barriers External barriers

Lack of awareness Patient preferences

Lack of familiarity Guidelines

Lack of agreement Environmental factors

Lack of outcome expectancy

Inertia of previous practice

coMMon barrierS to iMpleMentation

of lateSt eviDence anD guiDelineS

The market share for prescription

drugs is likely to rise, at the

expense of OTCs however, the

significance of traditional medicines

cannot be overstated

China Report12

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