Medlive Technology (2192 HK): Buy: Long-term story intact despite near-term pain

Research evidence excerpt

Medlive Technology (2192 HK): Buy: Long-term story intact despite near-term pain

mpliance guardrails are

required across clinical practice, research collaborations and external engagements.

Pharmaceutical companies Marketing and promotion, CSO partnerships, expense reimbursement, tax invoice chain

and channel management are more likely to be subject to “look-through” scrutiny.

3rd party service providers Meetings, consultancy arrangements, promotional activities and outsourced “academic

services” are more likely to be identified as channels for improper benefit transfers.

Source: Government website, HSBC

Exhibit 3. Key changes in the new version of Administrative Measures for Medical Representatives

Topic Previous version New version Key changes

Issuing authorities Issued by a single authority or a limited Jointly issued by 7 authorities, with stronger inter- Signals an upgrade from industry self-management

number of authorities. agency coordination. to cross-agency governance.

Scope of application Mainly covers filing/registration of medical Covers medical representatives, MAHs (marketing Coverage expands from “individuals” to the full

representatives and their basic activities. authorisation holders), entrusted professional chain: “companies + reps + healthcare institutions”.

organisations, and relevant personnel at healthcare

institutions.

Positioning of medical More focused on managing “filed Defines reps as personnel engaged in Role shifts from “sales-led” back to

representatives status/identity”. scientific/academic promotion of medicines; they must “science/academic-promotion-led”.

not undertake sales tasks.

Prohibited conduct Fewer prohibitions; rules are relatively Specifies nine categories of prohibited conduct and Red lines are clearer; grey-space for non-