Advanced SearchSearch Tips
Study on Medicine Related Policies for Management Strategies and Performances of the Pharmaceutical Industry
facebook(new window)  Pirnt(new window) E-mail(new window) Excel Download
 Title & Authors
Study on Medicine Related Policies for Management Strategies and Performances of the Pharmaceutical Industry
Jung, Jae-Hoon; Cho, Duk-Young; Choi, Suhe-yong;
  PDF(new window)
Objectives : The aim of this study was to investigate the effect of various Republic of Korea policies, including the medicine cost rationalization policy implemented By investigating the management strategy/performance changes of the industry caused by such policies. Methods : Pharmaceutical companies listed on the national stock exchange and the KOSDAQ were examined for 10 years from 2004 to 2013. Their financial statements were collected and market changes before and after drug price policy implementations were compared. Results : From the result of this research, among the medicine related policies, the drug price rationalization policy was found to have a significant effect on business management strategies in terms of safety, profitability and growth potential after its implementation. After the drug pricing transparency policy was implemented, management strategies were affected significantly in terms of safety and profitability. Conclusions : As a result, all of the medicine related policies were found to have regulatory effects. Based on these findings, implications, research limitations and future study plans are presented.
Pharmaceutical Industry of Policies;Management Strategy;Management Performance;
 Cited by
Y.J. Kwon(2009), A study on pharmaceutical item distribution and its improvement in Korean market. Master's thesis of Korea University, pp.13-26.

S.M. Kwon(1999), Strategy hospital for drug-related policy and institutional changes, J. of Hospital management, Vol.1999(1);40-60.

K.J. Cho(2011), Policy challenges and the impact of price cuts in the domestic pharmaceutical industry, KDB Monthly Bulletin, Vol.717;52-67.

G.Y. Oh(2010), Pharmaceuticals welfare changes over the FTA negotiations IPR, Jipmoon, pp.57-58.

K.M. Lee(2007), A study on interrelationship among company competence, business strategy, and performance : the case of Korean pharmaceutical companies, Doctoral dissertations of Soongsil University, pp.49-51, 96-99.

J.H. Heo(2011), Reimbursement price Regulation and firm behavior in the pharmaceutical Market, J. of Korean Association of Health Economics and Policy, Vol.17(3);101-126.

Department of Health and Human Services Press, Health Insurance drug price rationalization measures implemented, 2006. 12.

Department of Health and Human Services Press, The actual transaction type drug market enforcement, 2010. 09. 30.

Department of Health and Human Services Press, Rebate SsangbeolJae enforcement, 2010. 11.

Department of Health and Human Services Press, The new administration announced price cuts notice, 2011. 10. 31.

Department of Health and Human Services Press, 2012, Pharmaceutical Industry Competitiveness Plan, 2012. 01. 06.

S.H. Lee(2014), A study on feasibility of pharmaceutical rebate dual punishment : forcus on the allegations for constitutionality, Master's thesis of Yonsei University, pp.6-22.

H.W. Yang(2012), A Critical Review on the rebate ssangbeol, Doctoral dissertations of Korea University, pp.61-74, 5-18.

D.Y. Cho(2012), The Study on the Effect of Factors on Management Performance in General Hospital, J. of Health Service Management, Vol.6(4);111-120.

I.S. Kang(2002), A study on the structural relationship analysis of management environment, strategy, firm structure and performance in hotel industry, Doctoral dissertations of Kyonggi University, pp.61-74.

D.W. Lee(2012), A Study on the Effect of Company Growth before and after the Rebate Regulations in the Pharmaceutical Industry, Doctoral dissertations of Kyongil University, pp.4-32.

H.Y. Ju(2015), Study on impact of 'Drug Price Reform and Plan for Advancement of Pharmaceutical industry' Policy : A Case Study of Major Pharmaceutical Companies, Master's thesis of Seoul University, pp.11-14, 62-64.

H.W. Choi(2012), Study on Measures to Fostering of the Pharmaceutical Industry, Master's thesis of Wonkwang University, pp.4-7, 25-35.

M.E. Porter(1980), Competitive Strategy: Techniques for Analyzing Industries and Competitors, New York: Free Press, pp.126-151.

S.W. Pyeon(2012), The effects of pharmaceutical policies and influential factors for pharmaceutical industry, Doctoral dissertations of Kyonghi University, pp.15-60.

Y.H. Kim(1999), Analysis of Factors Affecting Profitability of General Hospital in Kyung - in Region, J. of Korean Society of Hospital Management, Vol.4(1);41-65.