Pharmaceutical giant MSD gains impetus in China market

Cooperation platform

Hailing the CIIE as "a phenomenal platform", Romanelli said the megaexpo has exceeded the company's expectations for engagement and practicality.

"During last year's CIIE, we were able to meet and discuss programs and solutions with some of our most important external partners, including government officials," he said.

"I probably met more people and engaged in more discussions about the future of healthcare in China in one week than during the entire prior quarter."

Romanelli cited a visit by a Hainan provincial government delegation during the last CIIE as a launchpad for partnerships. Following that visit, MSD signed an MOU with the Boao Hope City Administration Bureau on the introduction of new medicines, the use of real-world clinical data for research and patient services.

"With regard to the CIIE, what's critically important has been the affirmation that reform is moving forward, opening-up is continuing, and investment opportunities are available," he said.

"Such information is critical for foreign companies to continue investment in China." A further vote of confidence in China was exemplified by the latest MOU that MSD inked with the CIIE Bureau, promising that it will attend the expo for the next three years. "This is a resounding demonstration of our long-term commitment to both the event and the Chinese market," he said.

China market

While COVID-19 has pushed many businesses to the verge of bankruptcy, MSD China has managed to move forward. It posted an impressive 9 percent year-on-year growth in the first half of 2020.

Romanelli, who has spent six years living in China, attributed this exceptional performance in part to the government's comprehensive approach to public health measures and policies that protect business and incentivize investment.

"This gives us a lot of confidence in our outlook for the Chinese market."

Since taking over the helm of MSD China in 2016, Romanelli has significantly expanded the company's operations. China was MSD's fifth-largest market when Romanelli first came. It is now second only to the US and accounts for about eight percent of the company's total sales.

Romanelli credits the company's growth in China to robust developments in the company's oncology, vaccines and animal health businesses, and increased investment in manufacturing, R&D and manpower. He claims MSD's new innovative products are the company's "winning recipe" when it comes to navigating challenges created by pandemic.

"We've had some of the highest number of regulatory approvals in the market, and we also grew faster than many of our peers in the marketplace," he said.

Looking ahead, Romanelli said MSD will continue to expand offerings to new patients through new platforms. Removing access barriers, whether by enhancing penetration in county-level markets or retail segments, would be key to achieving this.

Another important driver of growth would be further advancing into digital. The company wants to grow its digital capability in healthcare, an area in which China has pioneered some of the world's best practices. "As articulated as the impetus for the Healthy China 2030 initiative, we have clear path forward so that more patients have access to innovation, more patients have access to care, and they are able to afford them."