How far a Shute can go

If a company's profits simply rely on a product, and this product is still in a more competitive market, then the company's business prospects are debatable, unfortunately, Shutai God is a company such as "Securities market Red Weekly" Observer Shan before the second question officially began, First of all, to answer a question from netizens and peers, is the question raised in a ask whether Mrs Soft?　　Or more bluntly, it's not a problem for employees to be familiar with their company's name. The writer talked about it on weekends with a private-equity friend, he thought the author raised the problem is very serious, the reason is very simple, the company's name uncertainty, reflects a problem, that is, the company's equity or business is unclear, so that the company's employees and related business units to the corporate name confusion.　　The author is not so radical, because I do not have direct evidence to prove, indeed, as the private placement said, but there must be some problems, at least the company's management has a problem. Now to get to the point, let's begin to explore the business prospects of the Shutai God.　　From the Shute prospectus, it is not difficult to find that the company's flagship product is "Su-peptide health" of biological drugs, specifically also is a kind of injection of mouse nerve growth factor products. According to the prospectus, Shute and Shutai holding company Zhao Yan Pharmaceutical Industry all subordinate enterprises are dependent on SU-peptide students, also said that Su-peptide health is the survival of the Shute. The original text is as follows: In the reporting period, the injection of mouse nerve growth factor product "Su-peptide students" accounted for the company's operating income and profits, the proportion of 2010, 2009 and 2008 accounted for the company's operating income of the same period of 85.45%, 83.56% and 83.2% respectively, the gross margin of 10,　　1.76 million yuan, 66.25 million yuan and 36.61 million yuan, accounting for the company's gross margin of the same period of 89.35%, 88.45% and 91.15% respectively. This set of figures shows only one point, that is, Shutai God is a thorough "one product alone Big" company. In fact, a product alone is not Shute a company unique in China's gem market, there are many such companies, this is not a Shute problem.　　In the medical and pharmaceutical industry, small and medium-sized listed companies, a large phenomenon also see many, such as just announced the annual report of the Han Sen Pharmaceutical (002412.sz), Hanson Pharmaceutical Core products four mill soup. A few days ago, I had a talk about the management prospects of the Han-sen pharmaceutical company and Hanson Pharmaceutical executives. The executive's answer is clear: The key to the outlook for a pharmaceutical company is the uniqueness of the product and the exclusivity of the technology involved. and four mill soup in line with this requirement, four mill soup patent belongs to the Han Sen pharmaceutical Unique, and only the Han-sen pharmaceutical production, there is no competitor, so for the business prospects of no need to worry. Hansen's 30%-year-old pharmacy is still at its fastest pace; even if the product is included in Medicare, the company has absolute pricing power, so profits are guaranteed. Many machinesHansen is expected to maintain a growth rate of around 30% in the next few years. But Hansen's today is not Shute tomorrow.　　The reason is very simple, in the rat nerve growth factor This segment market, Shute faces the huge market competition pressure. According to the prospectus of Shute, Wuhan Haitian Bio-Pharmaceutical Co., Ltd. and Xiamen Beida Road Bioengineering Co., Ltd's biggest competitor, and the two backgrounds are more abundant than shutai God, respectively, Wuhan University and Peking University as the technical backing.　　In addition, the company also won the national production license. Therefore, Shute in the Su-peptide products on the pricing power will certainly not be strong, especially once the health care, Su-peptide sales price will certainly be affected by the government pricing.　　Especially on September 27, 2013, after the protection period of the new drug for rat nerve growth factor product, The imitation will be able to enter the market, then the profit margin of the Su-peptide will be further suppressed. And if you look at the whole nerve repair drug market, Shute face the competition will be even more serious, because there are in the market there are such as, neuropeptides, calf serum protein and many other products exist, these products have entered the field of nerve repair is long, market awareness is high, and these products market expansion is very large,　　All these have caused great uncertainty to the management prospect of Su-peptide students.　　From the prospectus, the author has found that the profit margin of Shute is not stable. The author noted that the Shute fund-raising is to expand the production and development of SU-peptide students. I fear that such intense competition and uncertain market competition will raise the profitability of the project as Shute expected? If the expected objectives are not met, how can the interests of investors be ensured? I'm afraid that even Shute's management is disturbed. Because of the prospectus, special emphasis is placed on the negative impact of market competition on corporate earnings prospects.　　(see Shutai God's Prospectus 1-1-29). What needs to be explained here is that the questions are based on the Shute in its prospectus, in the upcoming "Three Questions Shute", the author will be the Shute market share problem analysis.