How to Issue an Electronic Prescription: Challenges and Strategies in Online Healthcare

At the beginning of 2016, news about the first batch of pilot programs for Alibaba Health’s online hospital captured widespread public attention. In fact, Alibaba had been strategically positioning itself in the healthcare industry over the previous two years. Initiatives such as Future Hospitals, Cloud Hospitals, the Tmall Pharmacy Pavilion, and the Alibaba Health app had already become part of Alibaba’s ecosystem. Clearly, a key objective of Alibaba Health’s strategy is pharmaceutical sales. Meanwhile, WeDoctor Group established the Wuzhen Internet Hospital prior to Alibaba, building a professional healthcare service group with health insurance as its endpoint. In addition, institutions such as the Guangdong Second Provincial General Hospital’s Online Hospital have also carved out their own niches in the online healthcare sector.

Clearly, the prospects of online healthcare appear highly attractive. However, significant obstacles remain to its rapid, large-scale expansion. On one hand, the traditional healthcare sector maintains formidable barriers, with intricate and intertwined stakeholder interests. Hospitals, which have long relied on “drug-markup-to-subsidize-medical-services” models, are reluctant to cede prescription authority and pharmacy revenues. On the other hand, inherent drawbacks of online healthcare itself have constrained its progress. Furthermore, barriers related to medical insurance coverage present a thorny challenge.

Among the numerous challenges facing online healthcare, obtaining e-prescribing authority is undoubtedly the most significant hurdle. E-prescriptions are regarded as core information within medical institutions. Without e-prescriptions, it is impossible to ascertain patients’ needs. Currently, most internet-based medical institutions are unable to integrate with pharmaceutical sales channels and establish a closed-loop business model due to their inability to secure e-prescriptions.

How to Obtain Electronic Prescription Privileges? VCBeat Has Compiled Four Programs That Have Already Issued Electronic Prescriptions in an Attempt to Identify the Path Forward.