Baiyang Model Offers Industry-Wide Symbiosis Insights to Navigate the New Era of Pharmaceutical Transformation

“Sun Chasers’ Perseverance Walk: Ushering in a New Era of Full-Cycle Health Management.” On August 13, the 2020 Westpu Conference opened in Boao, Hainan. Bearing the core themes of “Collaboration, Innovation, Technology, R&D, and Capital,” business leaders from China’s health industry gathered to discuss industrial innovation and plan for symbiotic integration within the sector.

In 2020, the sudden onset of the pandemic propelled the broader health industry into an “era of universal demand.” With the continuous deepening of new healthcare reforms, the steady advancement of the “Healthy China 2030” initiative, and state encouragement for emerging internet-based healthcare models, China’s health industry has entered a period of accelerated transition. Against this backdrop, the industry summit held in this exceptional year carries particular significance in guiding the transformation and upgrading of the health sector.

In 2020, the consistency evaluation and volume-based centralized procurement have fully entered a phase of deepening. Both domestic and multinational pharmaceutical companies have felt the government’s firm determination to advance healthcare reform and drive down drug prices.

On one hand, the normalization of consistency evaluations and centralized drug procurement is helping to curb artificially high prices for drugs and medical consumables. Through this “making room for new growth” strategy, innovative drugs and medical devices are poised for favorable development prospects. On the other hand, driven by the interplay of registration system reforms, the Marketing Authorization Holder (MAH) system, and the accelerated inclusion of new drugs in the national reimbursement list, some pharmaceutical companies are undergoing transformation through innovation, restructuring, and mergers and acquisitions to ensure sustainable development.

In the new landscape where opportunities and challenges coexist, the key to gaining a foothold is change. China’s pharmaceutical and healthcare industry urgently needs to abandon the traditional competitive model of fragmented operations and zero-sum games, instead promoting “win-win” outcomes through “symbiosis.” Leveraging market forces and encouraging multi-stakeholder participation to drive industrial synergy among “medical care, pharmaceuticals, patients, diagnostics, and insurance,” thereby forming an ecologically linked system, is an inevitable choice for seizing market先机 in the current industrial context.

At the main forum of the Westpu Conference on August 13, Fu Gang, Chairman of Baheal Medical Group, delivered a keynote address centered on the core concepts of “Symbiosis and Win-Win” and “Integrated Innovation.” His insights into the future of the industry became a focal topic of this year’s Westpu Conference.

“Amid industry shifts, the mindset transition from a ‘competition logic’ to a ‘symbiosis logic’ is a wiser choice,” pointed out Fu Gang. The pharmaceutical industry was once clearly divided into upstream, midstream, and downstream segments; however, industrial structures are becoming increasingly refined, competitive relationships are undergoing restructuring, and ecological collaboration is growing richer. Under the symbiosis logic, it is even more essential for us to partner with competitors to achieve mutual growth. Only by gaining a clear understanding of industry trends can we effectively break through bottlenecks, address systemic challenges, and jointly drive industrial upgrading.

The era of symbiosis demands integrated innovation to drive industrial iteration and the emergence of new categories, thereby extending the industry chain and enhancing the core competitiveness of pharmaceutical and healthcare enterprises. To address the challenge of achieving symbiotic growth and win-win outcomes in the industry, Baheal Medical shares its practices in cross-sector integrated innovation spanning the health industry, information technology, financial services, and real estate development. This provides the “Baheal Solution” for industrial iteration and upgrading, and the “Baheal Model” for the new era of health management.

Amid the expansion of China’s national centralized drug procurement, the existing pharmaceutical landscape and commercial value chain have been disrupted and reshaped. As the market share of originator drugs in hospitals gradually declines, how originator brands can continue to unleash their brand value in the retail market has become an urgent new challenge for pharmaceutical companies.

“We refer to the retail of prescription drugs as the OTX model, which encompasses three distinct tiers: originator drugs, generic drugs that have passed consistency evaluations, and products marketed simultaneously in China and the United States. Baheal’s professional commercialization platform will help brand products demonstrate their brand value in the retail market,” introduced Fu Gang. He stated that Baheal’s commercialization platform provides upstream industrial enterprises with comprehensive solutions. By leveraging omnichannel management capabilities, multi-category synergy, and digital marketing expertise, the platform deeply integrates medical institutions, retail enterprises, and industrial manufacturers. This approach optimizes marketing costs, enhances marketing efficiency, and facilitates the rapid deployment of advanced global medical technologies and products into practical application scenarios across various channels.

Currently, leading pharmaceutical companies such as Mylan, Janssen, Takeda, Astellas, Grifols, and 3SBio have flocked to establish in-depth collaborations with Baheal Medical. By leveraging Baheal’s commercialization “expressway,” these partners are rapidly deploying their high-quality products to retail terminals, thereby benefiting patients.

As prescription drug marketing shifts from in-hospital channels to specialized out-of-hospital terminals, the pharmaceutical retail industry is gradually evolving toward intensification and specialization. However, during this professional upgrading process, the retail sector continues to face challenges in core competencies such as prescription fulfillment, supply chain management, and pharmaceutical care services.

Leveraging its robust industrial synergy capabilities, Baheal Medical holds unique advantages in facilitating the professional upgrading and efficiency enhancement of pharmacies. In collaboration with industry organizations such as the China Pharmaceutical Commerce Association and Sinohealth Information, as well as authoritative experts, Baheal has jointly developed specialized pharmaceutical care service training programs to help pharmacies improve their pharmaceutical care capabilities. Meanwhile, Baheal has long practiced the integration of “Internet + Healthcare,” achieving coordinated development among medical treatment, health insurance, and pharmaceutical services through its Yi Fuzhen third-party prescription circulation service platform, thereby ensuring that pharmacy prescriptions are legally sourced and traceable. Additionally, Baheal utilizes informational tools to assist pharmacies in managing customer asset portfolios.

Behind these innovations—commercialized platforms and the specialized upgrading of terminals, which differ from traditional marketing approaches—lie Baheal Medical’s substantial industrial accumulation over more than a decade and its profound understanding of the market. With the advancement of companion diagnostics and immunotherapy technologies, Baheal Medical is committed to collaborating with medical institutions, pharmaceutical manufacturers, and retail endpoints to deliver patient-centric health management solutions that cover the entire lifecycle, including prevention, diagnosis, treatment, and rehabilitation.

To effectively implement the “Healthy China” national strategy, it is essential to address the fragmentation of medical and health services and build a new ecosystem for lifecycle-oriented healthcare. The theme of this year’s Xipu Conference focuses on “lifecycle health management,” which aligns perfectly with Baheal Medical’s vision of creating integrated health city complexes.

Recently, construction officially commenced on the core area of the Qingdao International Big Health Industrialization Base, a key project planned by Qingdao City and spearheaded by Baheal Medical. As China’s first health-focused urban complex, it will integrate high-quality global resources across the entire medical and healthcare industry chain, serving as a window linking China with the global health industry and as the primary entry point for domestic and international health enterprises to establish their presence in the Chinese market.

“The Healthy City Complex will emerge as a new category and represent a significant leap forward in the development of China’s health industry. It is not only a cross-sector innovation integrating the health industry with real estate development, but also aligns with Qingdao’s urban strategy. With the ongoing construction of the industrial park and the growing health demands of the Chinese population, the completion of a multi-billion yuan health industrial park, brimming with innovative vitality and humanistic appeal, is just around the corner. It is poised to become a national model and a hallmark of Qingdao,” introduced Fu Gang. He added that, beyond industrial layout, the complex will be developed into a smart community at the level of a professional health and wellness retreat, where every household has access to a doctor, nursing care is available at all times, physiotherapy is routinely provided, and everyone is knowledgeable about health preservation.

To provide consumers with higher-quality health products and more comprehensive services, Baheal Medical joined hands with renowned pharmaceutical and chain enterprises—including Takeda Pharmaceutical, Astellas Pharma, 3SBio, Ruilin Pharmaceutical, and Green Valley Pharmaceutical—at the “Baheal Night” themed gala dinner on the evening of the 13th. Focusing on areas such as bone health, prostate health, breast health, dry eye disease, and gout, they jointly launched the “Ten Key Areas, Ten Public Health Welfare Initiatives,” linking upstream and downstream segments of the industrial chain to contribute to China’s healthcare cause.

Standing in the present and looking toward the future, Baheal’s innovative and forward-thinking “Baheal Model,” along with its symbiotic, win-win, and integrated “Baheal Wisdom,” have become the focal point of the industry at the Westpu Conference. Leveraging the Westpu Conference as a starting point, Baheal’s integrated innovation has seized policy and industry opportunities, committing to deliver novel industry solutions to upstream and downstream enterprises. This empowers every “Sun Chaser” to embrace the new era of symbiosis in the health industry with fearless courage, witnessing the transformative trends and boundless possibilities within the sector.