South Korea Pharmaceuticals and Healthcare Report Q1 2009

Executive Summary ....................6
South Korea Pharmaceuticals Industry SWOT ................................. 7
South Korea Political SWOT ............................... 8
South Korea Economic SWOT ............................. 9
South Korea Business Environment SWOT........ 10
Pharmaceutical Business Environment Ratings ..............................11
Table: Asia Pacific Pharmaceutical Business Environment Ratings For Q109............ 11
Limits Of Potential Returns................................ 11
South Korea – Market Summary............................13
Regulatory Regime....................14
Recent Regulatory Developments ...................... 15
Direct-To-Consumer Advertising....................... 17
Intellectual Property Regime ............................. 17
Recent Intellectual Property Developments ....... 18
Market Access Barriers......... 18
Pricing Regime ..................... 21
Price Cuts ............................. 21
Reimbursement Regime......... 22
Table: Top 10 Products By Reimbursement Amount, H107 ............ 24
Recent Reimbursement Developments................ 24
Hospital Purchasing ............. 25
Foreign Trade Developments............................. 26
Industry Trends And Developments .....................27
Epidemiology........................ 27
Healthcare ............................ 29
Healthcare System Reforms ............................... 29
National Health Insurance Corporation ............ 30
Domestic Pharmaceutical Industry.................... 31
Recent Domestic Industry Developments ........... 31
Foreign Companies............... 32
Recent Foreign Sector Developments ................ 33
Research And Development ............................... 35
Table: New Molecular Entities Developed By South Korean Drugmakers ................... 37
Clinical Trials....................... 37
Biotechnology Sector ............ 38
Table: South Korea’s Bio-Industry Backbone................................. 39
Recent Biotechnology Sector Developments ...... 40
Medical Devices.................... 41
Table: Classification Of Medical Devices In South Korea.............. 42
Recent Medical Devices Developments.............. 43
Industry Forecast Scenario......44
Overall Market Forecast....... 44
Table: South Korea – Drug Expenditure Indicators, 2003-2013 ..... 45
Key Growth Factors – Industry.......................... 46
Table: South Korea – Health Expenditure Indicators, 2003-2013................................ 47
Key Growth Factors – Macroeconomic ............. 48
Table: South Korea – Economic Activity ........... 50
Prescription Market Forecast............................ 51
Table: South Korea – Prescription Market Indicators, 2003-20013 (KRWmn unless otherwise stated ..... 52
Patented Market Forecast.................................. 53
Table: South Korea – Patented Market Indicators, 2003-2013....... 54
Generics Market Forecast ................................. 55
Table: South Korea – Generics Market Indicators, 2003-2013 ....... 56
OTC Market Forecast........... 57
OTC Market Forecast........... 57
Table: South Korea - OTC Market Indicators, 2003-2013 (KRWmn unless otherwise stated)................... 58
Export/Import Forecasts....... 59
Table: South Korea – Pharmaceutical Trade Indicators, 2003-2013 (US$mn) ............ 60
Other Healthcare Data Forecasts...................... 61
Table: South Korea – Other Healthcare Data Indicators, 2003-2013 .......................... 62
Key Risks To BMI’s Forecast Scenario.............. 63
Competitive Landscape............64
Table: Top 10 Corporations In South Korea By Sales, Q406 .......... 65
Company Profiles......................66
Leading Multinationals.............. 66
GlaxoSmithKline (GSK)........ 66
Pfizer ....... 68
Sanofi-Aventis....................... 72
Merck & Co .......................... 75
Novartis ................................ 77
Eli Lilly................................. 79
Leading Domestic Manufacturers........................... 81
Dong-A ................................. 81
Chong Kun Dang Pharmaceutical (CKD) ......... 84
Hanmi Pharmaceutical Co................................. 86
Yuhan Corporation ............... 88
Daewoong Pharmaceutical................................ 90
Bukwang Pharmaceutical Company .................. 93
Kuhnil Pharmaceutical ......... 95
Choongwae........................... 97
Country Snapshot: South Korea Demographic Data .......................99
Section 1: Population............ 99
Table: Demographic Indicators, 2005-2030...... 99
Table: Rural/Urban Breakdown, 2005-2030 ................................ 100
Section 2: Education And Healthcare.............. 101
Table: Education, 2002-2005 .......................... 101
Table: Vital Statistics, 2005-2030.................... 101
Section 3: Labour Market And Spending Power ........................... 102
Table: Employment Indicators, 2001-2006...... 102
Table: Consumer Expenditure, 2000-2012 (US$) ......................... 102
Table: Average Annual Wages, 2000-2012...... 103
BMI Forecast Modelling ...........104
How We Generate Our Pharmaceutical Industry Forecasts .............. 104
Pharmaceutical Business Environment Ratings Methodology ........... 105
Ratings Overview................ 105
Table: Pharmaceutical Business Environment Indicators ............ 106
Weighting............................ 107
Table: Weighting Of Components .................... 107
Sources ....... 107