Medical network - on April 1, the pharmaceutical industry has been the focus areas of antitrust enforcement. Recently, two tickets to cause the attention of the society. 

 

On February 10, the state administration for industry and commerce announced that the monopoly salicylic acid methyl ester of API that a company issued a 2.2 million yuan tickets. Shortly after, the price bureau of shandong province in investigating the weifang company whether there is any API monopoly, hinder the investigation, the company was fined 120000 accordingly. 

 

For pharmaceutical companies, antitrust seems to be a strange word. The current law of the People's Republic of China anti-monopoly law since it took effect on August 1, 2008, has been praised as "market economic constitution", from a certain extent, can prevent large extrusion small enterprises living space, eliminate monopoly damage. 

 

So, what are the rules and monopoly situation, the author briefly carding is as follows: 

 

Monopoly is mainly divided into two forms of horizontal monopoly and vertical monopoly. 

 

Horizontal monopoly refers to the same industry with rival companies horizontal alliance in order to achieve market dominance and in order to eliminate or restrict competition behavior. 

 

Vertical monopoly refers to the same industry or a brand at different economic levels, no direct competition between businesses by some kind of joint implementation of eliminate or restrict competition behavior, is one of the most common form of producers manipulate downstream distributors resale price of the product. As for the "anti-monopoly law" article 14 of the regulation: "prohibit agreements with trading counterpart to achieve the following: (1) fixed resale prices of the goods to third parties, (2) qualified goods for resale to third parties of the lowest price." Has clearly defined and ban the longitudinal price monopoly. 

 

In order to make people more clearly understand the difference between vertical and horizontal monopoly monopoly, and the author for an example of virtual, as follows: 

 

An API from A factory exclusive production, B enterprise to get exclusive rights, with A factory signed A sales agent agreement 1, monopoly of the API in the domestic sales. Agreement is the main content is: company B to be the sole agent for A production of active pharmaceutical ingredients in the domestic sales, only by B company agreed to after A factory to supply to other manufacturer. 

 

Period, enterprises find B, C to buy API. B enterprise requirements: must be finished medicine market the actual sales price increased N times, to share the profits. Because C enterprise did not agree, enterprises will be the API sales price increased dozens of times. 

 

Obviously, B companies control A factory supply of goods, and B to C enterprise calculate way of delivery or not, all by myself, which belongs to A vertical monopoly. For monopoly party, using their superior status, to interrupt the supply to coerce, forced the downstream operators comply with its terms, so as to implement control the behavior of the supply, in view of this, should belong to the vertical monopoly! 

 

Again and ask for a C B enterprise factory price points profit unreasonable demands, belong to the horizontal monopoly, horizontal monopoly refers to the operator a competitive relationship between eliminate restrictions of competition, according to relevant data, including: horizontal monopoly fixed price, market segmentation, joint production, boycotts, and so on! B enterprises for the price increase request, thus to control the product C factory, belong to the horizontal monopoly! 

 

For pharmaceutical companies, often to the agent price regulation requirements, manage the agents through price, pharmaceutical enterprise is intended to encourage competition between agents, avoid to minimum price to stifle competition in the market environment. At the same time, limit the lowest price, on the one hand, to ensure that the agent profit, on the other hand also helps to standardize the market, to prevent the agent "transregional". 

 

In the act of the actual specification, therefore, a lot of people think is not allowed to below a certain price for sales behavior belongs to the commonplace, but from the point of view of antitrust, it's alleged monopoly. Has been mentioned above, the anti-monopoly law stipulated in article 14, operators and trading counterpart a "qualified goods for resale to third parties" lowest price agreement, belong to the banned monopoly agreements. 

 

Regardless of horizontal monopoly or vertical monopoly is a monopoly, the operator must be considered whether a monopoly or dominant market position, or with more than the same operator, whether there is a monopoly or dominant market position. As a result, drug companies before for each decision, must carefully study the relevant legal documents, consulting legal professionals. 

 

Otherwise, a bit not careful, you may touch the monopoly of ray, blown to pieces.