1、Epidemic Response to COVID-19 in Pharmaceutical and Healthcare Industries Series Issue 2 Impact of COVID-19 on the health industry and how certain sectors will cope and use it as an impetus for change The outbreak of Coronavirus Disease 2019 (COVID-19) has caused enormous challenges to Chinas econom
2、y and peoples lives. With the epidemic on the rise, society has paid more attention to the healthcare and pharmaceutical industries, which will impose both positive and negative consequences across different sub- sectors. In the short term, there will be a variety of impacts on pharma companies, hea
3、lthcare institutions, pharmaceutical distribution and retail, and health insurance (Fig.1). In the medium to long-term, the impact on the healthcare and pharmaceutical industries are relatively positive: Societal awareness for disease control, prevention and healthcare will be enhanced; The Governme
4、nt will drive the development of hierarchical medical systems, strengthening the competence of community medical institutions; The value of development and commercialization of medicine, vaccines and medical devices by the capital markets will be enhanced; Digitalization of the industry such as inte
5、rnet hospitals will speed up; The demand for private health insurance will increase, currently dominated by state social benefits Focusing firstly just on the pharmaceutical industry, this public health emergency may push the process of medical reform of the “tripartite” of healthcare, medical insur
6、ance and medicine, where players in the industry will face new challenges and opportunities. Framing these impacts against the pharmaceutical industry value chain together with our experience, PwC has identified three significant trends and has proposed the strategic problems which enterprise leader