The Rising Influence of Rising Affluence

[DewDiligence]

Drug sales in China are growing rapidly, even though the growth rate is declining:

http://www.reuters.com/article/2014/05/25/us-china-pharmaceuticals-margins-idUSBREA4O00W20140525

The Reuters' analysis showed combined revenue growth in the sector fell to 17.9 percent last year, from 22.6 percent in 2012 and more than 28.8 percent in 2011.

Nothing wrong with 17.9% year-over-year growth in China for the pharma industry as a whole. Writers (and sell-side analysts) have a tendency to portray a declining—but high absolute—growth rate as an unduly negative phenomenon.