Fengyuan Chemical is mainly engaged in the production of Western pharmaceutical APIs, and their main customers are major pharmaceutical factories, because they often deal with pharmaceutical companies and have more understanding of the pharmaceutical industry.

"Mr. Chen, you are a unit that produces APIs, why can't you directly enter the drug market? And those companies that can't produce APIs have a license to enter the market?" Guan Yuntian has always been very curious about this matter.

In the process of discussing the asset integration of the GMP workshop in the morning, Lao Chen thought that Guan Yuntian was fair and felt that he was a real person, so he was also willing to communicate with Guan Yuntian. "Mr. Guan, there is a general rule in this industry, that is, the production of APIs without drugs, or the production of drugs without the production of APIs, are all because the strength of the enterprise is not very strong, such as our Fengyuan Chemical and the bankrupt Tianyuan Company, this is the case. It's different for those megapharmaceutical companies, where they produce APIs and drugs at the same time. Lao Chen explained.

"What kind of enterprise strength do you mean?" Guan Yuntian said.

Of course, it refers to the comprehensive strength of the enterprise, but the economic strength is the most important, and the economic strength of the enterprise is strong, and other aspects are naturally easy to do. The pharmaceutical industry itself is a capital-intensive and technology-intensive industry, capital is the fundamental guarantee, but technology is too important, in addition, marketing, public relations, advertising planning, etc., are also indispensable. In addition to a bit of technical foundation, Fengyuan Chemical does not have the same conditions as Tianyuan Company in other aspects, so it has not dared to enter the drug market rashly over the years, and can only do the synthesis of APIs. ”

"Mr. Chen, in your opinion, how different is making APIs from making medicines?"

"The focus of the two is different, the synthesis of APIs, the technical difficulty is greater, but the market is relatively simple, and the requirements for enterprise management are not too high. The technical difficulty of making drugs is not as great as that of synthesis, but after all, drugs are directly facing the majority of patients, and the technical standards implemented are much higher and stricter, so the requirements for enterprise management are higher, in addition, drugs pay more attention to marketing, public relations planning and advertising, and these links are unimaginable without strong financial support. Old Chen said.

Guan Yuntian has an understanding of the importance of drug marketing and promotion, and thinks that when he was listed on the backdoor, the reorganized cutting-edge pharmaceutical company was because there was no capital to do public relations planning and advertising, and their Chinese patent medicine could not open the market for a long time, which led to the performance of the listed company Xinrui Pharmaceutical Co., Ltd. for many years, and was finally put on the ST hat. After Xinrui Pharmaceutical was reorganized by Changda Group, the new company injected a large amount of money for advertising, and later Xinrui Pharmaceutical developed better and better, and now the scale is four or five times that of that year.

"Obviously, a company can not only synthesize APIs, but also process pharmaceutical preparations, which is very beneficial to reduce costs. "Guan Yuntian said.

"That's right, eliminating the intermediate circulation link is definitely conducive to reducing the cost of drugs. ”

"Although it is technically difficult to do the synthesis of APIs, is there a lack of talents in this field in China?"

The chief engineer of Fengyuan Chemical next to Lao Chen interjected: "There is no shortage of technical talents in drug synthesis, but the threshold of this industry is now raised, and there are many problems and departments involved, and it is not easy to enter." ”

When it comes to chemical synthesis and biopharmaceuticals, Guan Yuntian knows a little about the skin, "You mean that drug synthesis involves safe production and environmental protection, right?"

"Yes, now the card is very strict, our Fengyuan Chemical's production license is very early, if you apply for a license now, it will be difficult to get approval in the safety production supervision and environmental protection department

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Permit. ”

"Yes, if I understand correctly, whether it is biological fermentation or chemical synthesis, it is still classified in the category of traditional industries, and for traditional manufacturing, the regulatory authorities are always keeping their eyes open. When it comes to the two functional departments of production safety supervision and environmental protection, Guan Yuntian is too impressed! It is precisely because the supervision is becoming stricter and stricter that he decided to package and list the traditional manufacturing sector of the Changda Group, which was originally operating very well, and use the golden cicada to peel it off.

"Mr. Guan, could it be that your Changda Group wants to get involved in the drug synthesis industry?" asked Lao Chen alertly.

"I really have this idea, but when I think of the harsh external environment facing this traditional industry, I still dispel such thoughts, Changda Group has finally broken away from the traditional industry, and has not dealt with the relevant regulatory authorities for two or three years, so we don't need to cause those troubles. ”

"But no, even if Fengyuan Chemical has a production license, in front of the regulatory authorities, we are inferior, just like children who have done something wrong, ready to accept the punishment of teachers or parents at any time. It's not easy to change careers, otherwise we would have changed careers a long time ago. Sometimes I wonder what would happen if the whole society didn't have these industries at the same time, since the regulators saw traditional industries as a threat?"

"Traditional industries are to the whole society, just like grains and grains are to all mankind, without the support of traditional industries, human society will not be able to survive. However, the traditional industries are subject to the most stringent supervision, which is the helplessness of reality. "Guan Yuntian said.

"Mr. Guan, since you plan to use the GMP workshop and don't want to deal too much with the regulatory authorities, it seems that you have to choose to produce finished drugs, I don't know what kind of drugs you want to make in the future?"

"I haven't considered this problem yet, Mr. Chen, in addition to the raw materials produced by Fengyuan Chemical, are there any other better products? ”

"There are potential products are not absent, but cultivating a market for a new drug is not a simple matter, after all, the drug is a special commodity, to cultivate a certain scale of the market, the efficacy is the first, in addition, but also to be recognized by the majority of doctors, which takes time. ”

The chief engineer of Fengyuan Chemical recommended several pharmaceutical products with market potential to Guan Yuntian, and emphasized that "if you want to effectively use the GMP workshop, relying on these products that have not yet formed a market scale, it is difficult to quench your thirst from far water." ”

"According to the meaning of the two of you, can you continue to make this kind of medicine that you provide APIs?" From the beginning of the conversation, Guan Yuntian sensed that Lao Chen and their chief engineer wanted to promote Fengyuan Chemical's APIs.

"Although this drug has been on the market in China for six or seven years, the first three years are still under the patent protection period of foreign companies, and all the products sold on the drug market at that time are imported. However, after the patent of this drug expired, we took the lead in synthesizing domestic APIs with two large domestic pharmaceutical companies in the first time, and Lao Zhang of Tianyuan Company also consulted experts from the Provincial Medical Research Institute that year before deciding to invest in the production of this drug. Lao Chen explained.

"What do you think of the efficacy and market size of this drug?"

"The efficacy is exact, the market size is about 2 billion, as a single variety, it is already good to have such a scale, and there may be some growth in the future. ”

"As far as I know, there is a problem of replacing Western medicines, how many years do you think this medicine has to be sold normally?" Guan Yuntian asked very carefully.

According to the analysis of industry experts, five

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Within the year, there will be no decrease in sales. Five years from now, if the market really shrinks, it is estimated that the new drugs I mentioned just now should also be marketed, and they can be changed at any time at that time. The chief engineer of Fengyuan Chemical suggested.

"Mr. Guan, it is too conditional for you to take over the GMP workshop and continue to produce this drug, as long as you enrich some management personnel, you can start production at any time. Tianyuan Pharmaceutical Factory is located in the development zone, not far from you, and it is easy to manage. Old Chen said.

Guan Yuntian nodded and said: "With the bankruptcy of Tianyuan Company, those employees have also lost their jobs, and now, including the relevant leaders of the county and the original employees, they are eager for us to take over and continue to organize production." However, Changda Group is also an enterprise, we do everything to judge the risk, analysis of investment returns, although this matter involves a guarantee we have provided to others, if the risk is too great, there is no return, we will not take over. "Guan Yuntian said.

"Anyone who does business can understand your caution. Mr. Guan, we hit it off at first sight, your fair and just way of doing things, I admire, I have the courage to make a suggestion to you, this matter to talk about the risk, is to avoid the mistakes that Tianyuan company Lao Zhang once made, in the advertising of drug promotion, to be willing to invest. Lao Chen said bluntly.

"Thank you Mr. Chen for your advice, at this point, Changda Group considers the problem completely different from other companies, we will not be stingy with the money spent, and the advertising of drugs will be taken seriously. In addition, we also have a favorable condition, I remember once mentioned to you, a few years ago Changda Group in order to backdoor listing, reorganized a ST listed company called Xinrui Pharmaceutical, they are doing Chinese patent medicine, but also because of the lack of advertising, drugs have not been able to play the road, we entered, invested a lot of money to advertise the product, now their scale has expanded several times, in the future, our drugs can enter the market with the help of their existing sales channels. "Guan Yuntian said.

"Mr. Guan, this condition is too favorable! At least half of the advertising costs will be saved for you. Using ready-made channels is a marketing tool that many sellers dream of. ”

That night, Guan Yuntian hosted a banquet for Lao Chen and his entourage at a high-end hotel in the county, accompanied by Ye Jiayi and Lao Ding. At the wine party, Guan Yuntian announced in public that Fengyuan Chemical and Changda Group would become partners! Except for the three people who participated in the discussion in the afternoon, everyone else was surprised by this news.

"Didn't you decide to integrate the assets of the GMP workshop into the Changda Group? What else is there to cooperate with?" Ye Jiayi's question represents the voice of others.

"This afternoon, through talking with Mr. Chen, I clarified the vague thinking of the previous days, and I have been thinking about it for the past few days, ICBC handed over the assets of the GMP workshop to Changda Group, if the GMP workshop is not effectively used, it is no different from a pile of garbage. However, the GMP workshop and its equipment are dedicated to the pharmaceutical industry, except for the production of drugs, there is no other use, and we have reached a consensus with Mr. Ye, we all believe that the pharmaceutical industry is worth intervening. Like other industries, it is not so easy to find a product with good market profits immediately, and after Mr. Chen knew my thoughts, he thought that he could continue to produce the drug from Tianyuan Pharmaceutical Factory. "Guan Yuntian said.

"Isn't Tianyuan Company bankrupt because of that product? Changda Group took over and continued to do ...... , is it appropriate?" Lao Ding didn't understand.

"The bankruptcy of Tianyuan has nothing to do with a certain product, their problem lies in management. ”

"I see! However, if Tianyuan Company has not done a good job, will Changda Group definitely be able to do a good job? Has it fully considered the risks?"

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