A Study of the Corporation Strategy in the Chinese Herbal Medicine Industry – The Case Study of K Company

• Main Authors: Hui-Tze Huang, 黃慧慈
• Other Authors: Heng-Yih Liu
• Format: Others
• Language: zh-TW
• Published: 2019
• Online Access: http://ndltd.ncl.edu.tw/handle/h52g28

碩士 === 元智大學 === 管理碩士在職專班 === 107 === For the past few years, Europe, the United States and some developed countries have begun to advocate the returning to natural medicine, traditional Chinese medicine, and under the concept of "prevention is better than curing”, also due to the mildness of Chinese herbal medicine, the concept of “it has the effect of disease curing when sick, and the effect of body strengthening when healthy", so Chinese herbal medicines has been re-emphasized and become the star of tomorrow in the biotechnology industry, and the countries worldwide have been investing in the relevant research. With the support from the government's policies, more and more pharmaceutical companies and biotechnology factories have been coming into the industry, and the operating environment of the traditional Chinese herbal medicine industry has been even more severe and competitive. Asia's population accounts for 60% of the world's population. The economy of the countries in Southeast Asian is growing rapidly, so the demand for medicines is increasing, whether Taiwan in Asia is competitive enough among various countries in the pharmaceutical industry is a question we should look at. This research has applied case study method, taking K company from Taiwanese herbal medicine industry as the research object, firstly analyzing the structure and development of Taiwan's Chinese herbal medicine industry and future trends with Porter five forces analysis, and then analyzing the internal conditions and external opportunities and threats of the company under the case study by SWOT. Facing the rapid changes of the competitive environment, how the company under the case study has continued to grow and develop by applying limited resources. We hope that, through the results of this research, the company under the case study will provide a specific and feasible business strategy in the future. It has been found in the research that although the Chinese herbal medicine industry has grown, it still has been restricted by domestic and foreign laws and regulations, and its growth rate has been slow. The management of the company under the case study is too much focused on a single product category and market. Therefore, the proposition of two major suggestions for the future growth of the company in the case study is as the following: (1) through strategic alliances, expanding the market and channel by applying external resources; (2) the global professional outsourcing manufacturers in the Chinese herbal medicine, reaching the Economies of scale and developing key core technologies.