ProposalforHisamitsuChinaMarketEntryStrategyConsultingProjectOctober18,2003April30,2025Confidential,Copyright@2003bySinotrust2HisamitsuChinaMarketEntryStrategyAgendaUnderstandingofHisamitsu’sissuethrustHighlightoftheproject’sapproachesandgoalsArrangementandplanoftheprojectSinotrust’srelevantcasestudiesAppendix1-SinotrustprofileAppendix2-SelectedresumeApril30,2025Confidential,Copyright@2003bySinotrust3HisamitsuChinaMarketEntryStrategyUnderstandingofHisamitsu’sissuethrustApril30,2025Confidential,Copyright@2003bySinotrust4HisamitsuChinaMarketEntryStrategyAftermorethan150years’growth,HisamitsubecomestheleadingmanufacturerofexternalpainrelievingdrugsintheworldFoundedin1847underthenameofKomatsuya.Kishintanisintroducedin18691957,theTokyorepresentativeoffice(currentlytheTokyoHeadquartersandbranchoffice)isopened.TaiwanHisamitsuPharmaceuticalCo.,Ltd.,isincorporatedin1960.1965,thecompanyisrenamedHisamitsuPharmaceuticalCo.,Inc.TheEuropeanliaisonofficeisestablishedin1992.In2002,thenetsalesis$519mnandnetincomeis$64mn.TokyoKyushuCaliforniaTaipeiLondonMalaysiaSaoPauloVietnamIndonesiaMainHeadOfficesandLaboratoriesApril30,2025Confidential,Copyright@2003bySinotrust5HisamitsuChinaMarketEntryStrategyForthecomingyears,Hisamitsuhassetupanewmilestone-tobecomeanetincomeof¥10,000millioncompanyby2005¥8,607million¥10,000million20022005PHisamitsu’sMid-termPlanSalonpas——apainrelievingpatch,nameknowallovertheworld,thepain-relievingmedicineofchoice.SalonpasGel-Patch——apainrelievingpatchwithstrongcoolingeffect;morepowerfulpain-relievingactionwithstretchablity.SalonpasGel——agelworksonsprains,bruisesandmusclepain,workfasterandlonger.AirSalonpas——itisusedforreliefofacutepainandcoolsinadditiontoprovidinganalgesicaction.Lifecella——firmsskinandmakesitcometolifewithasheetfulofgelsoakedinnaturalessence.Byebye-fever——apowerfulcoolingsheetforfever.Hisamitsu’sMainProductsApril30,2025Confidential,Copyright@2003bySinotrust6HisamitsuChinaMarketEntryStrategyToachieveitsgoalofoverseasexpansion,HisamitsudecidesinvestmoreoninternationalmarketsOverseassalesgrowthDomesticsalesgrowthCurrentportfolioDesiredsalesHowtoreachitHisamitsu’soverseasdevelopmentplanRegardingoverseassalesdevelopment,theCompanyistryingtodevelopclinicaltrialsoftheCompany’sproducts,especiallyMORUSTAPE,intheEuropeandtheU.S.aswellasestablishworldwidetheCompany’sbrandincludingtrademarks,manufacturingtechnologyandqualitycontrolofproducts.Hisamitsu’soverseasdevelopmentplanRegardingoverseassalesdevelopment,theCompanyistryingtodevelopclinicaltrialsoftheCompany’sproducts,especiallyMORUSTAPE,intheEuropeandtheU.S.aswellasestablishworldwidetheCompany’sbrandincludingtrademarks,manufacturingtechnologyandqualitycontrolofproducts.April30,2025Confidential,Copyright@2003bySinotrust7HisamitsuChinaMarketEntryStrategyThe“lost”ChinamarketcouldbeanimportantpartofHisamitsu’sinternationalexpansionplanbecauseofChina’sbigandincreasingmarketsizeinhealthcareSonycorporationToshibacorporationOmroncorporationToyotacorporationMitsubishicorporationCanonInc.OlympuscorporationHondacorporationPanasoniccorporationNisshoiwaicorporation……SonycorporationToshibacorporationOmroncorporationToyotacorporationMitsubishicorporationCanonInc.OlympuscorporationHondacorporationPanasoniccorporationNisshoiwaicorporation……FamousJapanesecompanies...