Multinational pharmaceutical companies absorb high-ranking children： Feng Yuxiang’s grandson Ren Huirui’s top management

　　In the crazy process of multinational pharmaceutical companies in China, grey means frequently appear. The GlaxoSmithKline case is just the tip of the iceberg. What are the criteria for multinational pharmaceutical companies to choose executives in China? What kind of deep background do they have?

　　After four senior executives of GlaxoSmithKline were detained, AstraZeneca, Sanofi, Lilly and other giants were also investigated by relevant departments, and the bribery scandal of multinational pharmaceutical giants intensified.

　　Multinational pharmaceutical companies have been operating in China for 30 years. Facing the huge market in China, the development and expansion of multinational pharmaceutical companies in China is more like a long-planned war. From the initial joint venture, to merger and acquisition, sole proprietorship, setting up factories and R&D centers in China, even the executives in China have changed from foreigners to local elites.

　　From tourism to immigration, from interviews to papers, the "grey marketing techniques" of pharmaceutical companies have also exposed the tip of the iceberg.

　　How do multinational pharmaceutical companies operate in China, and what are the arrangements for the establishment of various functional departments? How can multinational pharmaceutical companies penetrate into China step by step by relying on their strong economic strength and powerful government lobbying ability? What is the background of executives of multinational pharmaceutical companies?

　　Department secrets

　　The outbreak of GSK’s China Wo case presented a roadmap for a foreign company to promote drugs by illegal means in China. Zhao Hongyan, director of the legal department, liang hong, vice president and general manager of enterprise operation, Huang Hong, general manager of business development enterprise operation, and Zhang Guowei, president and director of human resources department, who are known as "GSK China Troika", were investigated by the public security department. Why did GSK executives in China collectively fall?

　　The reporter found that there is a very clear division of labor among mainstream European and American pharmaceutical foreign companies. The medical management of multinational pharmaceutical companies in China has been covered with political color.

　　A deputy general manager of a domestic pharmaceutical company told reporters, "Every multinational pharmaceutical company has different ways to play. The national market layout of multinational pharmaceutical companies in China is basically where the government relations built by the enterprises themselves extend. Considering the operation and security of multinational pharmaceutical companies in China, one of the main tasks of government relations management is short-term arrangement, medium-term plan and long-term plan, and there is a special annual budget for the expansion and maintenance of government relations. "

　　"Simply relying on market operation is not enough to maintain the production and development of enterprises. For example, the bidding management of provinces, the selection of essential drugs, the addition of medical insurance catalogues, and the new GMP standards will all be controlled and influenced by relevant national policies. Therefore, on the first day of investment in China, multinational pharmaceutical companies in Europe and the United States regard influencing government-related decision-making departments as their most important task. " A staff member of a medical association told reporters.

　　Pharmaceutical enterprises build their own government relations network nationwide, on the one hand, relying on the government relations department of the company, on the other hand, giving full play to the personal connections and business capabilities of resident marketers, and on the other hand, relying on the commercial customers of pharmaceutical enterprises.

　　An industry insider who did not want to be named said, "Multinational pharmaceutical companies are even more aware of the layout of approval power before and after the reform than government officials, and their familiarity with policies, laws and regulations is much higher than that of domestic pharmaceutical companies."

　　There are 11 departments in China headquarters of GSK. The four departments involved in this case are Legal Affairs, Human Resources, Business Development and Enterprise Operation. What is the department setup and division of responsibilities of multinational pharmaceutical companies in China?

　　The Ministry of Government Affairs is mainly responsible for developing and carrying out related work with National Medical Products Administration, the National Development and Reform Commission, the Price Bureau, the industrial and commercial departments, the Ministry of Justice and other government functional departments, and establishing and maintaining good communication and contact with relevant units and departments. For example, be responsible for the company’s product declaration and selection in the national or local basic medical insurance drug list, and ensure that the company’s products are selected in the trade name list or synonym library in relevant regions; Responsible for the bidding and winning of the company’s products in relevant regions of the country, improve market access, and ensure that the company’s products have good channel environment and policy environment support.

　　The Ministry of Public Affairs is mainly responsible for the work in the media and public propaganda. Publicize the public through some influential media or propaganda tools, such as newspapers, magazines, radio and television, and shape public opinion, thus affecting the decision-making of government departments or legislatures. In addition, carry out social welfare projects advocated by the government to shape the positive image of enterprises. Some common problems are provided to the legislature or decision-making body as experts and scholars or as alliance groups through industry associations, industry media, academic groups, etc.

　　Medical registration department, mainly dealing with new drugs on the market and National Medical Products Administration. Get more guidance and help from the national level, improve the efficiency of pharmaceutical companies in research and development, registration and approval of new drugs, and obtain policy support for existing products.

　　Business development department, mainly dealing with local pharmaceutical wholesale companies and price departments. Provide accurate and continuous information, trends and related policy analysis for internal departments of the company; Drafting opinions and supporting materials to provide reference and necessary support for other internal departments to negotiate with the official; Ensure the stability of the price system of pharmaceutical products.

　　The legal department is mainly responsible for dealing with the legal troubles that the company may face. Based on the long-term research on the policy and market of pharmaceutical industry, it provides policy judgments for pharmaceutical companies in their business decisions. Because multinational pharmaceutical companies are familiar with the laws of China, they directly contact legislators or government officials with decision-making power through formal meetings or other means, such as cooperating with the government to present the company’s position and views on behalf of the company, provide relevant information and share practical experience, so as to influence the decision-making of the government or legislative departments.