The Republic of Poland is the largest country in Eastern Europe in population as well as in area. Since its entry to the European Union, Poland is one of the most attractive destinations for foreign investments. The seminar paper at hand focuses on the situation of the infrastructure in Poland with an emphasis on the current privatisation process. Right from the beginning of the transformation process, Polish politicians claimed to not only reform the economical system but also the social security system.
However, it took some ten years to implement the first reform in the health care sector. Nonetheless, the new system suffers from efficiency problems resulting in a financial crisis. The development of the health care sector starting from the implementation of the General Health Insurance Act in 1999 will be examined further.
One branch of the health care sector is the pharmacy market. The pharmaceutical segment is described as one of the most successful sectors for Poland in the future. The value-added chain, beginning from the manufacture to the point of the end customer was analysed with a certain focus on the legal regulations. Although free trade of goods and services within the boarders of the European Union is one of the member states’ principles, pharmaceutical products are subject to a severe surveillance. The Polish government has introduced many rules and regulations to ensure a safe trade with Pharmaceuticals.
Table of Contents
1. Poland’s Strategy to attract Foreign Direct Investments in Selected Industries
2. Infrastructure Policy
2.1. Impact of Infrastructure Investments for Sustained Economic Growth
2.1.1. Basic Principles of Infrastructure Policy
2.1.2. Extension of the Classical Definition: Information Technology
2.1.3. Economical Relevance of Infrastructure
2.2. Specific Policies for Poland: Privatisation of Infrastructure
2.2.2. Poland’s Motorways as a Selected Sector of Infrastructure
2.2.3. Evaluation of Poland’s Privatisation Process
3. Health Care System in Poland
3.1. Health Care Policy in Respect with the Process of Transformation
3.2. Organisational Structure of the Health Care System in Poland
3.3. Health Insurance System
3.4. Health Care Finance and Expenditures
3.4.1. The State Budget
3.4.2. the National Health Fund
3.4.3. Payments by External Institutions
3.4.4. Co-Payments by Patients
3.5. Financial Crisis of the Health Care Sector
4. The Pharmacy Sector
4.1. Distribution of Pharmaceutical Products
4.1.1. Pharmaceutical Manufacturers
4.1.2. Pharmaceutical Wholesalers
4.1.3. Pharmacies
4.1.3.1. Community and Hospital Pharmacies
4.1.3.2. Polish Pharmacy Association and its Membership of PGEU
4.2. Regulations in the Pharmacy Sector
4.2.1. Drug Registration
4.2.2. Price Control
4.2.3. Reimbursement
4.2.4. Emergency- and Night Service
4.2.5. Mail Order Selling
4.2.6. Protection of Intellectual Property Rights
4.3. Impact of EU-Entry: “ Pharmaceutical Tourism”
5. Interrelation between Infrastructure, the Health Care System and the Pharmacy Market – A Summary
Research Objectives and Key Topics
This seminar paper investigates the current status of infrastructure in Poland, with a specific focus on the health care sector and the pharmaceutical market. The core research objective is to provide a fundamental understanding of how Poland’s political and economic transformation, coupled with infrastructure development, dictates the legal and operational framework for investments in the pharmacy industry.
- Infrastructure policy, privatisation, and economic growth in transition countries.
- The organizational structure and financial challenges of the Polish health care system.
- Value-added chain and legal regulations within the Polish pharmacy sector.
- The impact of EU accession on the pharmacy market and the "Pharmaceutical Tourism" phenomenon.
- Strategies for future development and reform in the health care and pharmaceutical sectors.
Excerpt from the Book
4.1.1. Pharmaceutical Manufacturers
Poland’s pharmaceutical industry is one of the most attractive sectors of its economy. The pharmaceutical industry consists of seventeen state-owned enterprises (called POLFA), fourteen chemical-pharmaceutical co-operations and some private pharmaceuticals enterprises. POLFA produces about 2,000 products and covers the therapeutic sector. A further privatisation of the pharmaceutical industry can be expected in the next years. Tax incentives have been implemented to attract foreign investments. Large multinational drug makers, like GlaxoSmithKline, Novartis or Merck are already present in Poland. The largest pharmaceutical manufacturers in the Polish pharmaceutical industry are shown in Figure 4.
Pliva, for example, is a Slovenian manufacturer which invested 154 Mio. U.S. Dollar in a new factory in 2003. According to IMS Health, 1.4 Bn. pharmaceutical products had been sold in Poland with a value of 3.1.Bn. EUR in 2002 (Cp. Polnische Agentur für Informationen und Auslandsinvestitionen AG (2003), page 23). Investments are expected to increase in the future which will lead to a change in the manufacture structure. Consequently, traditional Polish manufacturers might need to give up their business or start co-operations with global players in this branch.
The pharmaceutical manufacturers acting in Poland consist of domestic and foreign companies. Imported pharmaceuticals represent 30 % of the total turnover but because they are more expensive then domestically produced pharmaceuticals, their market value amounts to more than 60 % (Cp. Polnische Agentur für Informationen und Auslandsinvestitionen AG (2003), page 23).
Summary of Chapters
1. Poland’s Strategy to attract Foreign Direct Investments in Selected Industries: This chapter introduces the importance of Poland's EU entry for foreign investment and outlines the study's scope regarding infrastructure, health care, and the pharmacy sector.
2. Infrastructure Policy: The chapter explores the theoretical principles of infrastructure, its economic relevance, and the specific challenges Poland faces during its privatisation process, including the development of a modern motorway network.
3. Health Care System in Poland: This section provides a detailed analysis of the transformation of the health care system, its organizational structure, financing mechanisms, and the recurring financial crises that have necessitated ongoing reforms.
4. The Pharmacy Sector: This chapter investigates the distribution of pharmaceutical products, the regulatory environment (including drug registration and pricing), and the impact of the EU membership on the pharmacy market.
5. Interrelation between Infrastructure, the Health Care System and the Pharmacy Market – A Summary: The final chapter synthesizes the main findings, highlighting the success of infrastructure privatisation versus the challenges within the health care reform, and discusses the future outlook for the pharmaceutical industry.
Keywords
Poland, Infrastructure Policy, Privatisation, Health Care System, Pharmaceutical Market, Foreign Direct Investment, EU Entry, Pharmaceutical Tourism, Pharmacy Regulations, National Health Fund, Value-added Chain, Economic Transformation, Cost-Control, Healthcare Finance.
Frequently Asked Questions
What is the primary focus of this research paper?
The paper examines the status of infrastructure in Poland following its political and economic transformation, with a concentrated focus on the health care system and the pharmacy market as key components for potential foreign investment.
What are the central thematic areas covered in this work?
The core themes include infrastructure development and privatisation, the structural and financial evolution of the Polish health care system, legal regulations within the pharmacy sector, and the market implications of EU membership.
What is the ultimate goal or research question of this study?
The primary goal is to assess how infrastructure conditions and health care policies shape the operational environment for the pharmaceutical industry in Poland, thereby providing a clear framework for investors.
Which scientific or analytical methods were employed?
The author uses a descriptive and analytical approach, evaluating historical and current economic data, legislative reforms, and structural changes, supported by reports from organizations like the WHO, the European Commission, and various industry studies.
What topics are addressed in the main part of the paper?
The main part covers infrastructure policy theory, the privatisation of Polish motorways, the organizational and financial restructuring of the health care system, and a comprehensive analysis of the pharmaceutical value chain, from manufacturers to pharmacies.
How would you characterize this paper using key attributes?
The paper is characterized by terms such as infrastructure privatisation, market transformation, health care regulation, and the specific impact of European Union integration on domestic economic sectors.
Why is the "Pharmaceutical Tourism" phenomenon relevant to the study?
It is relevant because it illustrates the economic consequences of price disparities between Poland and neighboring EU countries, impacting both the Polish market and the healthcare costs of foreign citizens.
How does the author evaluate the progress of the health care reform in Poland?
The author concludes that despite various reform attempts, the health care system faces ongoing difficulties, such as insufficient information flows and financial instability, indicating that the transformation process remains incomplete.
- Quote paper
- Christiane Zügner (Author), 2005, Infrastructure as a basis for doing business - The health care system in Poland with a focus on its pharmacy market, Munich, GRIN Verlag, https://www.grin.com/document/77079
