“Have you become masculine yet?” Suddenly, this sentence replaced “Have you eaten” and became the classic opening line for greetings between relatives and friends, especially in WeChat Moments and Weibo, everywhere. "Yang people" statements and sharing. During the anti-epidemic days, various items were sold out at high prices, with Lianhua Qingwen and ibuprofen being the "number one". If you look closely at the "human" logo with white letters on a red background, do you think it looks familiar? If you look through the medicine cabinet at home at this time, you will find more life "dominated" by Renhe, including Renhe facial masks, masks, toilet water, iodophor cotton swabs, Fuyanjie, probiotics, etc., and this is just the tip of the iceberg. . From various prescription drugs and over-the-counter drugs to skin care products such as facial masks and facial cleansers, as well as daily necessities such as mosquito repellent toilet water, wet wipes, and dental floss, it can be said that they occupy half of people's lives, and the market is flooded with Tierenhe brand products. The "Renhe" trademark is a well-known trademark in China. It belongs to the company's controlling shareholder Renhe Group. Renhe Pharmaceutical uses the "Renhe" trademark permanently for free. The two trademarks "Renhe Craftsmanship" and "Yaodu Renhe" both belong to Renhe Group. But why can Renhe be able to develop Producing so many categories with a wide range? The answer is OEM. In other words, Renhe only provides brand trademarks for finished products. All other aspects from design, research and development to production are controlled by the manufacturer. The brand only assumes supervision and quality control. inspection function. "Renhe" is rapidly expanding its product categories through OEM. On the one hand, it reduces R&D costs through OEM, and on the other hand, it wins through quantity and seizes more markets to enhance the overall brand influence of "Renhe". It was mentioned at the 2021 online performance briefing that the company's revenue from OEM medicines and OEM health products in 2021 was 2.683 billion, with OEM revenue accounting for 54.36% of total revenue. Its R&D expenses, according to the annual report, from 2017 to 2020, Renhe Pharmaceutical’s R&D investments were 23.4166 million yuan, 31.0773 million yuan, 38.0416 million yuan, and 39.7941 million yuan respectively. Sales expenses in the same period were 619 million yuan, 778 million yuan, 788 million yuan and 577 million yuan. In 2020, Renhe Pharmaceutical's sales expenses reached 14 times the research and development expenses. Although OEM products themselves are not equivalent to poor quality, and whether the drug is developed and produced by the brand itself has nothing to do with its effectiveness, in recent years, "Renhe Pharmaceutical" has been repeatedly controversial, and its main products and subsidiaries have many This "rollover" has challenged consumers' trust in the brand. For example, in 2013, Fuyanjie series products were accused of being "not medicines but disinfectants" and "online sales violations", etc., and were questioned for exaggeration and false propaganda; in the same year, its product Youcatan was exposed to contain ingredients harmful to children, and was not Modify relevant medication instructions in a timely manner; in 2021, a subsidiary of Renhe Pharmaceutical was fined twice for environmental issues; in November, Jiangxi Pharmaceutical Co., Ltd. was fined and confiscated for producing and selling inferior drugs; in May 2022 In August, there were constant disputes such as Fu Yanjie’s advertisement being accused of insulting women. Under the OEM model, the brand's control over the product is very limited, which also leads to consumers often buying the same quality products at higher prices. In the long run, consumers' distrust of OEM products will be transmitted back to On the brand. All things can be "benevolent", but it is not the only one that is an OEM trademark. Nanjiren, Yu Zhaolin, Hengyuanxiang, Beijiren, La Chapelle, Rongshida, etc. are all OEM trademarks. Based on the facts, no matter which manufacturer sells its own brand authorization, it will not monitor and manage the quality of related OEM products. Simply speaking, the OEM business model does not violate the relevant laws of our country, nor does it violate the relevant social ethics. But merchants must not just leave it alone.