Jointown has a rich and complete variety structure, operating about 779,700 varieties and specifications covering Western medicine, Chinese patent medicine, traditional Chinese herbal pieces, traditional Chinese medicinal materials, medical devices, family planning supplies, biological products, health care products and cosmetics, which can meet the "one-stop" procurement needs of customers from different downstream channels.

Jointown has built a robust marketing network and accumulated highly engaged customer resources across all channels, covering five terminals. Leveraging a rare full-channel distribution network within the industry, the Company can ensure the smooth access of various OTC products and hospital clinical varieties into different channel terminals, providing upstream pharmaceutical enterprises with specialized distribution and agency operation services.

Jointown has built an ecological closed loop encompassing the entire pharmaceutical industry chain through the implementation of the "Three News and Two Transformations" strategy. This involves extending service scenarios to upstream suppliers, downstream customers and C-end consumers. The Company is developing businesses such as general agency brand promotion, integration of wholesale and retail, BC warehousing and distribution integration and the Ten-Thousand Store Alliance Plan. Driven by the trends of digitalization and interconnectivity, the Company is transforming from a pharmaceutical distribution company to a comprehensive service provider in digital distribution, specialized product operation and promotion, third-party logistics and logistics technology as well as shifting from a retail business solely reliant on physical pharmacies or e-commerce platforms to a business offering precision services to C-end consumers.

With the implementation of the new retail and new medical service strategies, the Company has transformed from primarily serving B2B customers to increasingly reaching C-end customers, fostering a more comprehensive and complete all-scenario service mode for B-end and C-end consumers in both the upstream and the downstream.

In terms of new retail business, the Company's Ten-Thousand Store Alliance Plan has established an ecological service system centered on "offline smart stores + online health cloud platform + global health management" and integrated innovative services such as chronic disease management, remote consultations and home drug delivery. Through the Jointown Ten-Thousand Store Digital Platform", it has empowered over 29,000 franchised pharmacies, creating a service system that directly connects with C-end members.

In terms of new medical services, the Company concentrates on promoting clinic products nationwide and operating the clinic alliance on the basis of its supply chain business to create a paradigm for upgrading primary healthcare services. The Jointown Clinic online healthcare platform integrates intelligent systems such as AI-assisted diagnosis and treatment, specialized disease management and e-prescription processing. In addition to empowering the operations of grassroots clinics, it also serves a wide range of clinic patients, comprehensively enhancing the clinic's service capability for C-end patients.

Jointown has adhered to a technological strategy featuring industrial upgrading and the innovative integration of informatization, digitization and intelligence. It has increased sci-tech investment, optimized innovation mechanisms, continuously strengthened its digital supply chain construction and enhanced data coverage based on the core value chain of "experience enhancement, cost reduction and efficiency promotion, precise decision-making and mode innovation". Such efforts have positioned the Company as one of the few enterprises in the industry that possesses independently developed and nationally unified digital systems for business, logistics and finance.

In terms of digital supply chains, Jointown is progressively implementing cloud-based SaaS deployment in regional ERP systems to create a highly available and stable business foundation. Additionally, it continuously develops and optimizes supply chain management systems for various business formats to meet the demands of both internal and external customers and support lean business management.
In terms of data service capabilities, Jointown has developed an industrial master data and data governance platform. Specifically, the master data construction is focused on creating a shared dataset for the pharmaceutical industry. The data governance platform is built upon industrial datasets, incorporating platforms for drug data cleaning, terminal data cleaning and label governance. The platform enables cross-corporate data collection and cleaning, achieving an automated cleaning rate of over 95%.

Jointown has established an industry-scarce full-channel distribution network that covers over 96% of the administrative regions nationwide. The network covers public hospitals, chain and individual franchised pharmacies, primary and private medical institutions, Internet traffic platforms and downstream pharmaceutical distributor clients, creating a full-channel "highway" platform.

Starting from pharmaceutical distribution and retail, Jointown has established Youngjoin B2B Internet trading platform and the Smart Pharmacy B2C online pharmacies. Relying on the sound e-commerce system and professional operation experience, it has carried out pharmaceutical new retail (O2O) business, integrated orders received from e-commerce platforms such as Meituan, Ele.me, JD.com and TikTok through Mendiantong system, empowered pharmacies with the capability of online booking and delivery by pharmacies. It also provides upstream customers with full-channel and full-scenario supply chain operation services, and downstream customers with empowerment and convenient drug purchasing experience, meeting diverse needs of a variety of customers and business forms. Youngjoin's B2B platform is a leading out-of-hospital digital and intelligent transaction and service platform in China.

As the first 5A logistics enterprise in the pharmaceutical industry and the only national demonstration base for pharmaceutical intelligent warehousing, the Company has developed large-scale pharmaceutical supply chain service platform infrastructure comprising 141 warehouses with operations and supporting facilities covering a total floor area of over 3.95 million square meters. The logistics service network covers more than 96% of administrative regions nationwide, formulating a service system that extends directly to county-level medical terminals.

Jointown has been consistently enhancing intelligent logistics operation capabilities. The Company is committed to the ongoing iteration, transformation and upgrading of logistics technology and has established an innovative system that integrates "independent technological R&D + intelligent equipment manufacturing + system integration implementation", enabling full-process data standardization and intelligent interaction within logistics subsystems. Meanwhile, the Company has developed an intelligent supply chain platform by integrating the "GSP warehousing network + trunk transportation network + digital and intelligent information network", establishing a full-process and closed-loop capability from warehousing management and cold chain transportation to data services.

Jointown has integrated its resources across all channels in depth and innovatively developed an industry-specific "Bb/BC Integration" intelligent logistics service system, consistently enhancing its multi-scenario service capabilities. The Company has created a flexible logistics supply chain that features multi-end integration of Bb/BC warehousing and distribution and covering all channels, categories and scenarios.

By developing a visual management system for the entire order lifecycle, Jointown can ensure precise operations featuring a 100% timely response rate to customer demands, a 96% on-time receipt rate, a 98% on-time dispatch rate and a 99.99% dispatch accuracy rate. Additionally, it has achieved the "three lows" target in stocking, management and circulation costs.

Jointown has consistently explored logistics technology for years. Centered around the strategic cores of "full scenarios, full chains and intelligence", it has developed a technological product matrix based on three core segments, namely the integrated solutions for full-scenario logistics centers, full-supply-chain logistics software and next-generation intelligent logistics equipment, and established a digital and intelligent solution system spanning the entire value chain of the logistics supply chain.

Leveraging its supply chain, Jointown utilizes its extensive variety resources, advanced information technology and a modern logistics network of nationwide coverage to explore new retail and medical business paths through a "franchised" mode by developing intelligent tools such as the Jointown's Ten-Thousand Stores digital platform and the smart digital tools like the Clinic Manager System. This enables the Company to directly reach C-end customers while accelerating the growth of retail pharmacy and clinic businesses.

Jointown has developed robust core competitiveness in general agency brand promotion business (CSO). Focusing on the integration of product, brand and sales, it has created a marketing system that spans the entire value chain and possesses full-cycle marketing capabilities, full-network influence, full-channel control capabilities, and full-dimensional customer acquisition capabilities. Based on these core capabilities, the Company can provide efficient and professional brand promotion and operational services to renowned pharmaceutical enterprises at home and abroad, driving business growth for partners.

Best Pharmacist Pharmacy, as the B2C subsidiary for online pharmaceutical retailing and operational services, focuses on developing brand flagship store distribution and agency operation businesses. It actively explores new business areas such as interest-based e-commerce and content marketing, aiming to achieve full-network product exclusive distribution and develop original equipment manufacturer (OEM) varieties. It provides industrial enterprises with one-stop and full-network operation solutions through an integrated service mode of "store operation + medical services + digitalization + user operation", facilitating pharmaceutical and medical device enterprises to expand their full-network channel businesses.

Retail E-commerce Service Division of Jointown provides "one-stop" and full-network distribution and supply operation services for enterprises. The Company constantly improved the brand agency operation service capabilities, enabled core suppliers to continue to expand, enhanced customer brand influence, kept optimizing product channel control, strengthened agency warehouse cooperation of platform logistics and built industry channels, successfully creating a professional service brand of "agency operation + supply chain" for the retail e-commerce channels.

As the largest private pharmaceutical circulation enterprise in China, Jointown has the competitive advantage of flexible mechanisms and efficient decision-making. In terms of talent competitiveness, the Company's core management team comprises the founder, professional managers cultivated internally over the years and high-caliber talents recruited externally. Jointown attaches great importance on the "Three Takes" strategy ("taking time, efforts and costs") for talent acquisition and focuses on recruiting and selecting leaders in emerging sectors and key executives in traditional sectors.

Jointown has established a corporate governance system characterized by "collective decision-making and mutual supervision", as well as a "clearly defined, scientific and efficient" operational management system, continuously optimizing the Group's governance system. The Company's subsidiaries or logistics centers across the nation comprises primarily wholly-owned entities of the Group. Seamless integration is ensured between the Company and its subsidiaries in terms of operational management, business implementation, financial accounting and personnel arrangements through highly unified and centralized control.

After years of practice in starting business and development, Jointown has formed the original ecological "Family Culture" system with the culture of creating a common cause and respecting employees as its prominent connotations, and advocated "equality, friendship, mutual support, and mutual progress" as its main concepts. Besides, by adhering to the "customer-centered, performance-oriented, culture-driven and quality-based" core values, the Company has constantly integrated the culture and used the tie of the "Family Culture" to enhance the cohesion, centripetal force, and competitiveness of the Group, so as to give full play to the important role of corporate culture in enhancing the core competitiveness of enterprises and keep a constant spiritual impetus for the development of the Company.