The domestic drug market, which has expanded since the 2000 prescription of medicines, began to stagnate in 2010, and after the division of prescription drugs into non-prescription drugs, the sales of specialty medicines increased, centering on specialty medicines. Inha, the domestic drug market has stagnated to around W19tn from 2010 to 2015.
Domestic pharmaceutical companies have expanded their R & D investments and exports to revitalize the pharmaceuticals market. In 2016, the production and import of high-value drugs such as biopharmaceuticals and innovative drugs increased. In 2018, the market size was 25 trillion won. Which is rapidly growing to 265.2 billion won. However, it is not known whether the growth will continue due to the possibility that the demand for health insurance financing will be lowered due to strengthening the health insurance protection due to MoonJin-in care. However, due to the large-scale technology transfer contract with global pharmaceutical companies, And the number of foreign technology exports in 2018 was 11, the contract size was greatly increased to 5,264.2 billion yuan, and R & D investment is continuously expanding. In addition, the number of new drug development technologies and success stories are increasing. In 2017, the contract amount of new drug technology of pharmaceutical bio industry is estimated to reach 5362.3 billion won in 2018 compared with 1.4 trillion won in 2017, Technology exports are attracting attention.
Domestic new drug development started in 1999 as SK Chemicals' anti-cancer drug SUNPLA, and developed 0-3 every year. Up to 5 drugs were developed every year in 2015, and in July 2018, a total of 31 drugs were developed, including CJ Healthcare Co., By 2007, two of the 13 domestic new drugs, Bukwang Pharmaceutical Levovir Campus and Dongdae Pharmaceutical's Zydena Jangan, had achieved annual sales of 10 billion won. From 2008 to 2014, the company has developed 8 drugs. However, four items accounted for more than 10 billion won "He said. Bhungwang Pharmaceutical's KNAB, which treats hypertension and diabetes, has steadily increased its production to KRW 50.7 billion and KRW 31.5 billion in 2016 through exports and sales, Jean Notte has been producing more than 10 billion won in steady demand and sales force. On the other hand, in the case of Levovir, developed in Donga Pharmaceuticals in 2005 and developed in Bukwang Pharmaceutical in 2006, it has maintained production of less than several billions a year due to the adverse effects on aging items or launch of competitive drugs.
However, new drug technology exports have become a major turning point for the domestic pharmaceutical industry due to the technology exports of Hanmi Pharm after 2015. The company achieved 5 trillion won in annual contracts with Sanofi. Technological excellence has continued steadily since 2015, and in November 2018, Yuhan signed a KRW 1.4 trillion technology export contract.
If new drug development leads to exports, the added value will be high enough to occupy the world market of one new drug. Therefore, this study intends to study the effect of Korean pharmaceutical companies on the performance of pharmaceutical companies when they develop new drugs and export new technology.