Document:

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                                                                    Exhibit 10.3

                       CHINA NEPSTAR CHAIN DRUGSTORE LTD.
                            2007 SHARE INCENTIVE PLAN

1.   PURPOSE OF THE PLAN

          The purpose of the Plan is to aid the Company and its Affiliates in
recruiting and retaining key employees, directors or consultants of outstanding
ability and to motivate such employees, directors or consultants to exert their
best efforts on behalf of the Company and its Affiliates by providing incentives
through the granting of Awards. The Company expects that it will benefit from
the added interest which such key employees, directors or consultants will have
in the welfare of the Company as a result of their proprietary interest in the
Company's success.

2.   DEFINITIONS

          The following capitalized terms used in the Plan have the respective
meanings set forth in this Section:

     (a)  APPLICABLE LAWS: All laws, statutes, regulations, ordinances, rules or
          governmental requirements that are applicable to this Plan or any
          Award granted pursuant to this Plan, including but not limited to
          applicable laws of the People's Republic of China, the United States
          and the Cayman Islands, and the rules and requirements of any
          applicable national securities exchange.

     (b)  ACT: The U.S. Securities Exchange Act of 1934, as amended, or any
          successor thereto.

     (c)  AFFILIATE: With respect to the Company, any entity directly or
          indirectly controlling, controlled by, or under common control with,
          the Company or any other entity designated by the Board in which the
          Company or an Affiliate has an interest.

     (d)  AWARD: An Option, Share Appreciation Right or Other Share-Based Award
          granted pursuant to the Plan.

     (e)  BENEFICIAL OWNER: A "beneficial owner", as such term is defined in
          Rule 13d-3 under the Act (or any successor rule thereto).

     (f)  BOARD: The Board of Directors of the Company.

     (g)  CHANGE IN CONTROL: The occurrence of any of the following events:

          (i) the sale or disposition, in one or a series of related
          transactions, of all or substantially all, of the assets of the
          Company to any "person" or "group" (as such terms are defined in
          Sections 13(d)(3) or 14(d)(2) of the Act) other than the Permitted
          Holders;

          (ii) any person or group, other than the Permitted Holders, is or
          becomes the Beneficial Owner (except that a person shall be deemed to
          have "beneficial ownership" of all shares that any such person has the
          right to acquire, whether such right is exercisable immediately or
          only after the passage of time), directly or indirectly, of more than
          50% of the total voting power of the voting share of the

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          Company (or any entity which controls the Company), including by way
          of merger, consolidation, tender or exchange offer or otherwise; or

          (iii) during any period of two consecutive years, individuals who at
          the beginning of such period constituted the Board (together with any
          new directors whose election by such Board or whose nomination for
          election by the shareholders of the Company was approved by a vote of
          a majority of the directors of the Company, then still in office, who
          were either directors at the beginning of such period or whose
          election or nomination for election was previously so approved) cease
          for any reason to constitute a majority of the Board, then in office.

     (h)  CODE: The U.S. Internal Revenue Code of 1986, as amended, or any
          successor thereto.

     (i)  COMMITTEE: The Compensation Committee of the Board.

     (j)  COMPANY: China Nepstar Chain Drugstore Ltd., a company incorporated
          under the laws of the Cayman Islands.

     (k)  DISABILITY: Inability of a Participant to perform in all material
          respects his duties and responsibilities to the Company, or any
          Subsidiary of the Company, by reason of a physical or mental
          disability or infirmity which inability is reasonably expected to be
          permanent and has continued (i) for a period of not less than 90
          consecutive days or (ii) such shorter period as the Committee may
          reasonably determine in good faith. The Disability determination shall
          be in the sole discretion of the Committee and a Participant (or his
          representative) shall furnish the Committee with medical evidence
          documenting the Participant's disability or infirmity which is
          satisfactory to the Committee.

     (l)  EFFECTIVE DATE: The date the Board approves the Plan, or such later
          date as is designated by the Board.

     (m)  EMPLOYMENT: The term "Employment" as used herein shall be deemed to
          refer to (i) a Participant's employment if the Participant is an
          employee of the Company or any of its Affiliates, (ii) a Participant's
          services as a consultant, if the Participant is consultant to the
          Company or its Affiliates and (iii) a Participant's services as an
          non-employee director, if the Participant is a non-employee member of
          the Board.

     (n)  FAIR MARKET VALUE: On a given date, (i) if there should be a public
          market for the Shares on such date, the arithmetic mean of the high
          and low prices of the Shares as reported on such date on the Composite
          Tape of the principal national securities exchange on which such
          Shares are listed or admitted to trading, or if the Shares are not
          listed or admitted on any national securities exchange, the arithmetic
          mean of the per Share closing bid price and per Share closing asked
          price on such date as quoted on the National Association of Securities
          Dealers Automated Quotation System (or such market in which such
          prices are regularly quoted)(the "NASDAQ"), or, if no sale of Shares
          shall have been reported on the Composite

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          Tape of any national securities exchange, including the NASDAQ on such
          date, then the immediately preceding date on which sales of the Shares
          have been so reported or quoted shall be used, or (ii) if there should
          not be a public market for the Shares on such date, the Fair Market
          Value shall be the value established by the Committee in good faith.

     (o)  ISO: An Option that is also an incentive share option granted pursuant
          to Section 6(d) of the Plan.

     (p)  LSAR: A limited share appreciation right granted pursuant to Section
          7(d) of the Plan.

     (q)  OTHER SHARE-BASED AWARDS: Awards granted pursuant to Section 8 of the
          Plan.

     (r)  OPTION: A share option granted pursuant to Section 6 of the Plan.

     (s)  OPTION PRICE: The purchase price per Share of an Option, as determined
          pursuant to Section 6(a) of the Plan.

     (t)  PARTICIPANT: An employee, director or consultant who is selected by
          the Committee to participate in the Plan. To the extent required by
          Applicable Laws, Awards may be limited to employees and officers or
          employees and directors.

     (u)  PERMITTED HOLDER: means, as of the date of determination, (i) the
          Company or (ii) any employee benefit plan (or trust forming a part
          thereof) maintained by (A) the Company or (B) any corporation or other
          Person of which a majority of its voting power of its voting equity
          securities or equity interest is owned, directly or indirectly, by the
          Company,

     (v)  PERSON: A "person", as such term is used for purposes of Section 13(d)
          or 14(d) of the Act (or any successor section thereto).

     (w)  PLAN: This China Nepstar Chain Drugstore Ltd. 2007 Share Incentive
          Plan.

     (x)  SHARES: Ordinary Share of the Company.

     (y)  SHARE APPRECIATION RIGHT: A share appreciation right granted pursuant
          to Section 7 of the Plan.

     (z)  SUBSIDIARY: A corporation or other entity of which a majority of the
          outstanding voting shares or voting power is beneficially owned
          directly or indirectly by the Company.

3.   SHARES SUBJECT TO THE PLAN

          The total number of Shares which may be issued under the Plan is
8,680,000. The Shares may consist, in whole or in part, of authorized and
unissued Shares, treasury Shares or Shares purchased on the open market. The
issuance of Shares or the payment of cash upon the

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exercise of an Award or in consideration of the cancellation or termination of
an Award shall reduce the total number of Shares available under the Plan, as
applicable. Shares which are subject to Awards which terminate or lapse without
the payment of consideration may be granted again under the Plan.

4.   ADMINISTRATION

          The Plan shall be administered by the Committee, which may delegate
its duties and powers in whole or in part to any subcommittee thereof consisting
solely of at least two individuals who are intended to qualify as "Non-Employee
Directors" within the meaning of Rule 16b-3 under the Act (or any successor rule
thereto) and an "independent director" as defined in NYSE Rule 303A.02
Independence Tests (or any successor rule thereto). Awards may, in the
discretion of the Committee, be made under the Plan in assumption of, or in
substitution for, outstanding awards previously granted by the Company or its
affiliates or a company acquired by the Company or with which the Company
combines. The number of Shares underlying such substitute awards shall be
counted against the aggregate number of Shares available for Awards under the
Plan. The Committee is authorized to interpret the Plan, to establish, amend and
rescind any rules and regulations relating to the Plan, and to make any other
determinations that it deems necessary or desirable for the administration of
the Plan. The Committee may correct any defect or supply any omission or
reconcile any inconsistency in the Plan in the manner and to the extent the
Committee deems necessary or desirable. Any decision of the Committee in the
interpretation and administration of the Plan, as described herein, shall lie
within its sole and absolute discretion and shall be final, conclusive and
binding on all parties concerned (including, but not limited to, Participants
and their beneficiaries or successors). The Committee shall have the full power
and authority to establish the terms and conditions of any Award consistent with
the provisions of the Plan and to waive any such terms and conditions at any
time (including, without limitation, accelerating or waiving any vesting
conditions). The Committee shall require payment of any amount it may determine
to be necessary to withhold for any applicable taxes as a result of the
exercise, grant or vesting of an Award. Unless the Committee specifies
otherwise, the Participant may elect to pay a portion or all of such withholding
taxes by (a) delivery in Shares or (b) having Shares withheld by the Company
from any Shares that would have otherwise been received by the Participant.

5.   LIMITATIONS

          No Award may be granted under the Plan after the tenth anniversary of
the Effective Date, but Awards theretofore granted may extend beyond that date.

6.   TERMS AND CONDITIONS OF OPTIONS

          Options granted under the Plan shall be, as determined by the
Committee, non-qualified or incentive share options for U.S. federal income tax
purposes, as evidenced by the related Award agreements, and shall be subject to
the foregoing and the following terms and conditions and to such other terms and
conditions, not inconsistent therewith, as the Committee shall determine:

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     (a)  Option Price. The Option Price per Share shall be determined by the
          Committee, but shall not be less than 100% of the Fair Market Value of
          the Shares on the date an Option is granted.

     (b)  Exercisability. Options granted under the Plan shall be exercisable at
          such time and upon such terms and conditions as may be determined by
          the Committee, but in no event shall an Option be exercisable more
          than five years after the date it is granted.

     (c)  Exercise of Options. Except as otherwise provided in the Plan or in an
          Award agreement, an Option may be exercised for all, or from time to
          time any part, of the Shares for which it is then exercisable. For
          purposes of Section 6 of the Plan, the exercise date of an Option
          shall be the later of the date a notice of exercise is received by the
          Company and, if applicable, the date payment is received by the
          Company pursuant to clauses (i), (ii), (iii) or (iv) in the following
          sentence. The purchase price for the Shares as to which an Option is
          exercised shall be paid to the Company in full at the time of exercise
          at the election of the Participant (i) in cash or its equivalent
          (e.g., by check), (ii) to the extent permitted by the Committee, in
          Shares having a Fair Market Value equal to the aggregate Option Price
          for the Shares being purchased and satisfying such other requirements
          as may be imposed by the Committee; provided, that such Shares have
          been held by the Participant for no less than six months (or such
          other period as established from time to time by the Committee in
          order to avoid adverse accounting treatment applying generally
          accepted accounting principles), (iii) partly in cash and, to the
          extent permitted by the Committee, partly in such Shares or (iv) if
          there is a public market for the Shares at such time, through the
          delivery of irrevocable instructions to a broker to sell Shares
          obtained upon the exercise of the Option and to deliver promptly to
          the Company an amount out of the proceeds of such Sale equal to the
          aggregate Option Price for the Shares being purchased. No Participant
          shall have any rights to dividends or other rights of a shareholder
          with respect to Shares subject to an Option until the Participant has
          given written notice of exercise of the Option, paid in full for such
          Shares and, if applicable, has satisfied any other conditions imposed
          by the Committee pursuant to the Plan.

     (d)  ISOs. The Committee may grant Options under the Plan that are intended
          to be ISOs. Such ISOs shall comply with the requirements of Section
          422 of the Code (or any successor section thereto). No ISO may be
          granted to any Participant who at the time of such grant, owns more
          than ten percent of the total combined voting power of all classes of
          share of the Company or of any Subsidiary, unless (i) the Option Price
          for such ISO is at least 110% of the Fair Market Value of a Share on
          the date the ISO is granted and (ii) the date on which such ISO
          terminates is a date not later than the day preceding the fifth
          anniversary of the date on which the ISO is granted. Any Participant
          who disposes of Shares acquired upon the exercise of an ISO either (i)
          within two years after the date of grant of such ISO or (ii) within
          one year after the transfer of such Shares to the Participant, shall
          notify the Company of such disposition and of the amount realized upon
          such disposition. All Options granted under the Plan are intended to
          be nonqualified share options, unless the applicable Award agreement
          expressly states that the Option is intended to be an

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          ISO. If an Option is intended to be an ISO, and if for any reason such
          Option (or portion thereof) shall not qualify as an ISO, then, to the
          extent of such nonqualification, such Option (or portion thereof)
          shall be regarded as a nonqualified share option granted under the
          Plan; provided that such Option (or portion thereof) otherwise
          complies with the Plan's requirements. In no event shall any member of
          the Committee, the Company or any of its Affiliates (or their
          respective employees, officers or directors) have any liability to any
          Participant (or any other Person) due to the failure of an Option to
          qualify for any reason as an ISO.

     (e)  Attestation. Wherever in this Plan or any agreement evidencing an
          Award a Participant is permitted to pay the exercise price of an
          Option or taxes relating to the exercise of an Option by delivering
          Shares, the Participant may, subject to procedures satisfactory to the
          Committee, satisfy such delivery requirement by presenting proof of
          beneficial ownership of such Shares, in which case the Company shall
          treat the Option as exercised without further payment and shall
          withhold such number of Shares from the Shares acquired by the
          exercise of the Option.

7.   TERMS AND CONDITIONS OF SHARE APPRECIATION RIGHTS

          (a)  Grants. The Committee also may grant (i) a Share Appreciation
               Right independent of an Option or (ii) a Share Appreciation Right
               in connection with an Option, or a portion thereof. A Share
               Appreciation Right granted pursuant to clause (ii) of the
               preceding sentence (A) may be granted at the time the related
               Option is granted or at any time prior to the exercise or
               cancellation of the related Option, (B) shall cover the same
               number of Shares covered by an Option (or such lesser number of
               Shares as the Committee may determine) and (C) shall be subject
               to the same terms and conditions as such Option except for such
               additional limitations as are contemplated by this Section 7 (or
               such additional limitations as may be included in an Award
               agreement).

          (b)  Terms. The exercise price per Share of a Share Appreciation Right
               shall be an amount determined by the Committee but in no event
               shall such amount be less than the greater of (i) the Fair Market
               Value of a Share on the date the Share Appreciation Right is
               granted or, in the case of a Share Appreciation Right granted in
               conjunction with an Option, or a portion thereof, the Option
               Price of the related Option and (ii) the minimum amount permitted
               by Applicable Laws. Each Share Appreciation Right granted
               independent of an Option shall entitle a Participant upon
               exercise to an amount equal to (i) the excess of (A) the Fair
               Market Value on the exercise date of one Share over (B) the
               exercise price per Share, times (ii) the number of Shares covered
               by the Share Appreciation Right. Each Share Appreciation Right
               granted in conjunction with an Option, or a portion thereof,
               shall entitle a Participant to surrender to the Company the
               unexercised Option, or any portion thereof, and to receive from
               the Company in exchange therefore an amount equal to (i) the
               excess of (A)
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               the Fair Market Value on the exercise date of one Share over (B)
               the Option Price per Share, times (ii) the number of Shares
               covered by the Option, or portion thereof, which is surrendered.
               The date a notice of exercise is received by the Company shall be
               the exercise date. Payment shall be made in Shares or in cash, or
               partly in Shares and partly in cash (any such Shares valued at
               such Fair Market Value), all as shall be determined by the
               Committee. Share Appreciation Rights may be exercised from time
               to time upon actual receipt by the Company of written notice of
               exercise stating the number of Shares with respect to which the
               Share Appreciation Right is being exercised. No fractional Shares
               will be issued in payment for Share Appreciation Rights, but
               instead cash will be paid for a fraction or, if the Committee
               should so determine, the number of Shares will be rounded
               downward to the next whole Share.

          (c)  Limitations. The Committee may impose, in its discretion, such
               conditions upon the exercisability or transferability of Share
               Appreciation Rights as it may deem fit.

          (d)  Limited Share Appreciation Rights. The Committee may grant LSARs
               that are exercisable upon the occurrence of specified contingent
               events. Such LSARs may provide for a different method of
               determining appreciation, may specify that payment will be made
               only in cash and may provide that any related Awards are not
               exercisable while such LSARs are exercisable. Unless the context
               otherwise requires, whenever the term "Share Appreciation Right"
               is used in the Plan, such term shall include LSARs.

8.   OTHER SHARE-BASED AWARDS

          The Committee, in its sole discretion, may grant or sell Awards of
Shares, Awards of restricted Shares and Awards that are valued in whole or in
part by reference to, or are otherwise based on the Fair Market Value of, Shares
("Other Share-Based Awards"). Such Other Share-Based Awards shall be in such
form, and dependent on such conditions, as the Committee shall determine,
including, without limitation, the right to receive, or vest with respect to,
one or more Shares (or the equivalent cash value of such Shares) upon the
completion of a specified period of service, the occurrence of an event and/or
the attainment of performance objectives. Other Share-Based Awards may be
granted alone or in addition to any other Awards granted under the Plan. Subject
to the provisions of the Plan, the Committee shall determine to whom and when
Other Share-Based Awards will be made, the number of Shares to be awarded under
(or otherwise related to) such Other Share-Based Awards; whether such Other
Share-Based Awards shall be settled in cash, Shares or a combination of cash and
Shares; and all other terms and conditions of such Awards (including, without
limitation, the vesting provisions thereof and provisions ensuring that all
Shares so awarded and issued shall be fully paid and non-assessable).

9.   ADJUSTMENTS UPON CERTAIN EVENTS

          Notwithstanding any other provisions in the Plan to the contrary, the
following provisions shall apply to all Awards granted under the Plan:

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          (a)  Generally. In the event of any change in the outstanding Shares
               after the Effective Date by reason of any Share dividend or
               split, reorganization, recapitalization, merger, consolidation,
               spin-off, combination, combination or transaction or exchange of
               Shares or other corporate exchange, or any distribution to
               shareholders of Shares other than regular cash dividends or any
               transaction similar to the foregoing, the Committee in its sole
               discretion and without liability to any person shall make such
               substitution or adjustment, if any, as it deems to be equitable,
               as to (i) the number or kind of Shares or other securities issued
               or reserved for issuance pursuant to the Plan or pursuant to
               outstanding Awards, (ii) the maximum number of Shares for which
               Options or Share Appreciation Rights may be granted during a
               calendar year to any Participant, (iii) the maximum number of
               Shares for which Other Share-Based Awards may be granted during a
               calendar year to any Participant, (iv) the maximum amount of an
               Award that is valued in whole or in part by reference to, or is
               otherwise based on the Fair Market Value of, Shares that may be
               granted during a calendar year to any Participant, (v) the Option
               Price or exercise price of any share appreciation right and/or
               (vi) any other affected terms of such Awards.

          (b)  Change in Control. In the event of a Change of Control after the
               Effective Date, (i) if determined by the Committee in the
               applicable Award agreement or otherwise, any outstanding Awards
               then held by Participants which are unexercisable or otherwise
               unvested or subject to lapse restrictions shall automatically be
               deemed exercisable or otherwise vested or no longer subject to
               lapse restrictions, as the case may be, as of immediately prior
               to such Change of Control and (ii) the Committee may, but shall
               not be obligated to, (A) cancel such Awards for fair value (as
               determined in the sole discretion of the Committee) which, in the
               case of Options and Share Appreciation Rights, may equal the
               excess, if any, of value of the consideration to be paid in the
               Change of Control transaction to holders of the same number of
               Shares subject to such Options or Share Appreciation Rights (or,
               if no consideration is paid in any such transaction, the Fair
               Market Value of the Shares subject to such Options or Share
               Appreciation Rights) over the aggregate exercise price of such
               Options or Share Appreciation Rights or (B) provide for the
               issuance of substitute Awards that will substantially preserve
               the otherwise applicable terms of any affected Awards previously
               granted hereunder as determined by the Committee in its sole
               discretion or (C) provide that for a period of at least 15 days
               prior to the Change of Control, such Options shall be exercisable
               as to all shares subject thereto and that upon the occurrence of
               the Change of Control, such Options shall terminate and be of no
               further force and effect.

10.  NO RIGHT TO EMPLOYMENT OR AWARDS

          The granting of an Award under the Plan shall impose no obligation on
the Company or any Subsidiary to continue the Employment of a Participant and
shall not lessen or affect the Company's or Subsidiary's right to terminate the
Employment of such Participant. No

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Participant or other Person shall have any claim to be granted any Award, and
there is no obligation for uniformity of treatment of Participants, or holders
or beneficiaries of Awards. The terms and conditions of Awards and the
Committee's determinations and interpretations with respect thereto need not be
the same with respect to each Participant (whether or not such Participants are
similarly situated).

11.  SUCCESSORS AND ASSIGNS

          The Plan shall be binding on all successors and assigns of the Company
and a Participant, including without limitation, the estate of such Participant
and the executor, administrator or trustee of such estate, or any receiver or
trustee in bankruptcy or representative of the Participant's creditors.

12.  NONTRANSFERABILITY OF AWARDS

          Unless otherwise determined by the Committee, an Award shall not be
transferable or assignable by the Participant otherwise than by will or by the
laws of descent and distribution. An Award exercisable after the death of a
Participant may be exercised by the legatees, personal representatives or
distributees of the Participant.

13.  AMENDMENTS OR TERMINATION

          The Board may amend, alter or discontinue the Plan, but no amendment,
alteration or discontinuation shall be made, (a) without the approval of the
shareholders of the Company, if such action would (except as is provided in
Section 9 of the Plan), increase the total number of Shares reserved for the
purposes of the Plan or change the maximum number of Shares for which Awards may
be granted to any Participant or (b) without the consent of a Participant, if
such action would diminish any of the rights of the Participant under any Award
theretofore granted to such Participant under the Plan; provided, however, that
the Committee may amend the Plan in such manner as it deems necessary to permit
the granting of Awards meeting the requirements of any Applicable Laws.

          Without limiting the generality of the foregoing, to the extent
applicable, notwithstanding anything herein to the contrary, this Plan and
Awards issued hereunder shall be interpreted in accordance with Section 409A of
the Code and Department of Treasury regulations and other interpretative
guidance issued thereunder, including without limitation any such regulations or
other guidance that may be issued after the Effective Date. Notwithstanding any
provision of the Plan to the contrary, in the event that the Committee
determines that any amounts payable hereunder will be taxable to a Participant
under Section 409A of the Code and related Department of Treasury guidance prior
to payment to such Participant of such amount, the Company may (a) adopt such
amendments to the Plan and Awards and appropriate policies and procedures,
including amendments and policies with retroactive effect, that the Committee
determines necessary or appropriate to preserve the intended tax treatment of
the benefits provided by the Plan and Awards hereunder and/or (b) take such
other actions as the Committee determines necessary or appropriate to comply
with the requirements of Section 409A of the Code.

14.  JURISDICTIONS

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          In order to assure the viability of Awards granted to Participants
employed in various jurisdictions, the Committee may, in its sole discretion,
may provide for such special terms as it may consider necessary or appropriate
to accommodate differences in local law, tax policy or custom applicable in the
jurisdiction in which the Participant resides or is employed. Moreover, the
Committee may approve such supplements to, amendments, restatements, or
alternative versions of the Plan as it may consider necessary or appropriate for
such purposes without thereby affecting the terms of the Plan as in effect for
any other purpose; provided, however, that no such supplements, restatements or
alternative versions shall increase the Share limitation contained in Section 3
hereof. Notwithstanding the foregoing, the Committee may not take any actions
hereunder, and no Awards shall be granted that would violate any Applicable
Laws.

15.  DISTRIBUTION OF SHARES

          The obligation of the Company to make payments in Shares pursuant to
an Award shall be subject to all Applicable Laws and to any such approvals by
government agencies as may be required. Without limiting the generality of the
foregoing, Shares distributed pursuant to an Award may consists, in whole or in
part, of authorized and unissued Shares, treasury Shares or Shares purchased on
the open market. Additionally, in the discretion of the Committee, American
Depository Shares may be distributed in lieu of Shares in settlement of any
Award, provided that the American Depository Shares shall be of equal value to
the Shares that would have otherwise been distributed. If the number of Shares
represented by an American Depository Share is other than on a one-to-one basis,
the limitations of Section 3 shall be adjusted to reflect the distribution of
American Depository Shares in lieu of Shares.

16.  TAXES

          No Shares shall be delivered under the Plan to any Participant until
such Participant has made arrangements acceptable to the Committee for the
satisfaction of any income and employment tax withholding obligations under any
Applicable Laws, in particular, the tax laws, rules, regulations and government
orders of the People's Republic of China or the U.S. federal, state or other
local tax laws, as applicable. The Company and each of its Subsidiaries shall
have the authority and the right to deduct or withhold, or require a Participant
to remit to the Company, an amount sufficient to satisfy federal, state, local
and foreign taxes (including the Participant's payroll tax obligations, if any)
required to be withheld under any Applicable Laws with respect to any Award
issued to the Participant hereunder. The Committee may in its discretion and in
satisfaction of the foregoing requirement allow a Participant to elect to have
the Company withhold Shares otherwise issuable under an Award (or allow the
return of Shares) having a Fair Market Value equal to the sums required to be
withheld. Notwithstanding any other provision of the Plan, the number of Shares
which may be withheld with respect to the issuance, vesting, exercise or payment
of any Award (or which may be repurchased form the Participant of such Award
after such Shares were acquired by the Participant from the Company) in order to
satisfy the Participant's federal, state, local and other income and payroll tax
liabilities with respect to the issuance, vesting, exercise or payment of the
Award shall, unless specifically approved by the Committee, be limited to the
number of Shares which have a Fair Market Value on the date of withholding or
repurchase equal to the aggregate amount of such liabilities based on the
minimum statutory withholding rates for federal, state, local and other income
tax any payroll tax purposes that are applicable to such taxable income.

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17.  CHOICE OF LAW

          The Plan shall be governed by and construed in accordance with the
laws of the state of New York.

18.  EFFECTIVENESS OF THE PLAN

          The Plan shall be effective as of the Effective Date and shall
terminate ten years later, subject to earlier termination by the Board pursuant
to Section 13 hereof.<PAGE>

                                                                    Exhibit 10.4

         LOGISTICS SERVICE AND INFORMATION TECHNOLOGY SUPPORT AGREEMENT

This Logistics Service and Information Technology Support Agreement (hereinafter
referred to as this "Agreement") is entered into by and between the following
parties on May 28, 2007 in Shenzhen:

PARTY A: SHENZHEN NEPSTAR PHARMACEUTICAL CO., LTD.

          Registered address: Nepstar Building A-15B, Nanshan District, Shenzhen

PARTY B: [REGIONAL NEPSTAR COMPANY]

          Registered address:

Whereas:

(1)  Party A is a limited liability company incorporated and registered in
     Shenzhen in accordance with law of People's Republic of China ("PRC") to
     engage in pharmaceutical wholesale, computer network technology development
     and technology consulting and service in accordance with law as approved by
     relevant governmental authorities of PRC;

(2)  Party B is a limited liability company incorporated and registered in
     [Place of Regional Nepstar Company] in accordance with law of PRC to engage
     in pharmaceutical retail as approved by relevant governmental authorities
     of PRC;

(3)  Party A desires to provide logistics service and pharmaceutical retail
     information technology system support and service to Party B, while Party B
     is willing to accept such service.

Therefore, upon discussion, both parties agree on this Agreement as follows:

1.   SCOPE OF SERVICE

     Under this Agreement, the logistics service and information technology
     support provided by Party A to Party B include pharmaceutical delivery and
     information technology support. For details, please refer to Exhibit I
     ("Logistics Service and Information Technology Support").

2.   EXCLUSIVE LOGISTICS SERVICE AND INFORMATION TECHNOLOGY SUPPORT; EXCLUSIVE
     INTEREST

     2.1  During the term of this Agreement, Party A agrees to provide relevant
          Logistics Service and information technology Support to Party B as
          Party B's

<PAGE>

          exclusive provider of Logistics Service and Information Technology
          Support in accordance with terms and conditions hereunder.

     2.2  Party B agrees to accept Party A as its exclusive service provider for
          Logistics Service and Information Technology Support and Party B
          further agrees that, without prior written consent of Party A, during
          the term of this Agreement, Party B may not obtain any logistics
          service and information technology support from any third party. Party
          A may contract part or all of its obligations of service under this
          Agreement to any third party as appropriate, on the basis of its own
          demand.

3.   CALCULATION, PAYMENT OF SERVICE FEE

     3.1  Party B agrees to pay Party A service fee for its Logistics Service
          and Information Technology Support ("Service Fee"). Both parties agree
          that the Service Fee hereunder shall be 40% of Party B's pre-tax
          profit every year.

     3.2  Upon completion of auditing of Party B for each fiscal year, Party B
          shall, base on the auditing results, pay the Service Fee to the
          account designated by Party A in 30 days upon such completion and in
          any circumstance no later than April 30 of each calendar year.

     3.3  Party A has the right to release Party B from its obligation to pay
          the Service Fee or adjust the amount of the Service Fee provided under
          this article at any time.

     3.4  The Service Fee payable by Party B to Party A hereunder is secured by
          pledges on the equity interests in Party B owned by Party B's
          shareholders other than Party A ("Party B's Other Shareholders"), and
          by pledges on the equity interests in the Party B's Other Shareholders
          owned by shareholders of Party B's Other Shareholders.

4.   INTELLECTUAL PROPERTY

     4.1  The copyrights of software developed by Party A and other relevant
          software and the intellectual property of all research and development
          results obtained by research and development of Party A in performance
          of this Agreement and/or other agreements entered into by the parties
          as well as any derivative rights shall belong to Party A. The
          foregoing rights include, without limitation, patent rights, software
          and technical documents as carrier, copyrights or other intellectual
          property of technology materials and the rights to license third party
          to use foregoing intellectual property or to transfer foregoing
          intellectual property.

<PAGE>

5.   REPRESENTATION AND WARRANTY

     5.1  Party A hereby represents and warrants as follows:

          5.1.1 that Party A is a limited liability company legally incorporated
               and effectively existing in accordance with law of PRC;

          5.1.2 that Party A's execution and performance of this Agreement is
               within its corporate power and business scope and Party A has
               taken necessary corporate actions and obtained appropriate
               authorization and has obtained requisite consent and approval
               from third parties and governmental authorities. Such execution
               and implementation is not in violation of any restriction of any
               PRC law or contract binding on or affecting it; and

          5.1.3 that upon execution, this Agreement constitutes lawful, valid
               and binding obligation of Party A, enforceable in accordance with
               its provisions.

     5.2  Party B hereby represents and warrants as follows:

          5.2.1 that Party B is a limited liability company legally incorporated
               and effectively existing in accordance with law of PRC;

          4.1.1 that Party B's execution and performance of this Agreement is
               within its corporate power and business scope and Party B has
               taken necessary corporate actions and obtained appropriate
               authorization and has obtained requisite consent and approval
               from third parties and governmental authorities. Such execution
               and implementation is not in violation of any restriction of any
               PRC law or contract binding on or affecting it; and

          5.2.2 that upon execution, this Agreement constitutes lawful, valid
               and binding obligation of Party B, enforceable in accordance with
               its provisions.

6.   CONFIDENTIALITY PROVISION

     6.1  Party B agrees to take various reasonable confidential measures to
          keep the privileged materials and information of Party A that it knows
          or get access to in Party A's exclusive Logistics Service and
          information technology Support ("Confidential Information") in
          confidentiality. Without prior written consent of Party A, Party B may
          not disclose, provide or transfer such Confidential Information to any
          third party. Upon termination of this Agreement, Party B

<PAGE>

          shall, at the request of Party A, return any document, material or
          software containing Confidential Information to Party A, or destroy it
          directly and delete any Confidential Information from all relevant
          memories and shall not continue to use such Confidential Information.

     6.2  Both parties acknowledge and confirm that any oral or written material
          exchanged with each other concerning this Agreement is Confidential
          Information. Both parties shall keep all of such Confidential
          Information in confidentiality and may not disclose to any third party
          any relevant material, except (a) materials that have been or will be
          known by the public (only if it is not disclosed by the receiving
          party to the public without permission); (b) materials disclosed as
          required by applicable law or rules or regulations of any stock
          exchange; or (c) materials disclosed to the legal or financial
          advisors of either party in connection with the transaction as
          involved herein, provided that such legal or financial advisors shall
          assume similar confidential responsibility as under this provision.
          The disclosure by any employee or engaged entity of either party will
          be deemed as disclosure of such party and such party shall be liable
          for its breach in accordance with this Agreement.

     6.3  The parties agree that whether this Agreement is held invalid,
          modified, terminated or unenforceable, this Article 6 shall continue
          to be valid.

7.   INDEMNIFICATION

     Party B shall indemnify and hold Party A harmless from any loss, damage,
     liability or expense due to any action, claim or other request against
     Party A arising from or caused by the content of Logistics Service and
     Information Technology Support as required by Party B.

8.   EFFECTIVENESS AND TERM

     8.1  This Agreement is executed on the date as set forth above and becomes
          effective on the date when the authorized representatives of both
          parties sign this Agreement respectively.

     8.2  Any amendment, modification or supplement to this Agreement shall be
          made in writing and shall become effective when the authorized
          representatives of both parties sign thereon.

     8.3  Unless upon early termination in accordance with this Agreement or
          provisions of additional relevant agreements between the parties
          hereof, the term of this Agreement shall be ten years from the
          effective date.

     8.4  With written consent of both Party A and Party B, this Agreement may
          be

<PAGE>

          renewed upon expiry. The term of renewed contract will be determined
          by the parties hereof. If the parties fail to agree on renewal or the
          term of renewed contract, unless Party A provides a written notice of
          no renewal before the expiry, this Agreement shall be automatically
          renewed for an additional year after expiry (including the expiry of
          renewed contract).

     8.5  If during the terms as provided in Section 8.3 and 8.4 hereof, the
          business term (including any extended term) of either party expires or
          terminates due to any other reason, this Agreement shall terminate
          upon such termination, unless such party has transferred its rights
          and obligations hereunder according to Article 11 of this Agreement.

9.    TERMINATION

          9.1  Termination on Expiry Date. Unless renewed in accordance with
               Article 8.4 of this Agreement, this Agreement shall terminate on
               the expiry date.

          9.2  Early Termination. During the term of this Agreement, Party B may
               not terminate this Agreement before expiry, unless there is any
               gross negligence, default, other misconduct or bankruptcy on the
               part of Party A. Notwithstanding foregoing, Party A has the right
               to terminate this Agreement at any time through providing Party B
               a written notice thirty (30) days earlier. During the term of
               this Agreement, If Party B is in breach of this Agreement and
               fails to correct its breach in fourteen (14) days after receiving
               the written notice concerning its breach from Party A, Party A
               may notify Party B in writing to terminate this Agreement.

          9.3  Provisions after Termination. After this Agreement terminates,
               the rights and obligations of the parties under Article 6, 11 and
               13 hereunder shall continue to be valid.

10.  GOVERNING LAW

     The performance, interpretation and enforcement of this Agreement shall be
     governed by law of PRC.

11.  DISPUTE RESOLUTION

     In the event of any dispute between the parties concerning the
     interpretation and/or performance of any provision under this Agreement,
     the parties shall resolve such dispute through discussion in good faith. If
     the parties fail to agree upon resolution of such dispute in thirty (30)
     days after one party requests to resolve such dispute through discussion,
     either party may submit such dispute to China International Economic and
     Trade Arbitration Commission for arbitration in accordance with its

<PAGE>

     then valid arbitration rules. The place of arbitration shall be Shenzhen
     and the language to be used in such arbitration shall be Chinese. The
     arbitration award shall be final and binding on both parties.

12.  FORCE MAJEURE

     12.1 "Force Majeure" means any event that is beyond the reasonable control
          of one party and is not avoidable even under reasonable attention of
          the affected party, including without limitation, governmental act,
          natural power, fire, explosion, storm, flood, earthquake, tide,
          lightening and war, provided that, the deficiency of credit, capital
          or fund-raising shall not be deemed as an event out of reasonable
          control of one party. The party affected by Force Majeure and seeking
          to be released from fulfilling its obligation under this Agreement
          shall notify such exemption event to the other party as soon as
          possible and indicate its actions to be taken to fulfill its
          obligation.

     12.2 In the event of delay or suspension of implementation of this
          Agreement due to any Force Majeure as defined above, the party
          affected by such Force Majeure will not be required to assume any
          liability under this Agreement in the extent of delay or suspension.
          The affected party shall take appropriate measures to diminish or
          eliminate the influence of such Force Majeure and shall try to resume
          with performance of obligation delayed or suspended by such Force
          Majeure. Upon elimination of Force Majeure, the parties agree to
          resume performance under this Agreement at its best effort.

13.  NOTICE

     Any notice or other communication from either party in accordance with this
     Agreement shall be made in writing in Chinese or English and may be sent by
     personal delivery, registered mail, pre-paid mail or acceptable courier
     service or facsimile to the following address or addresses of the related
     party or both parties or other address as notified by the other party to
     such party from time to time or address of others designated by the other
     party. The notice shall be deemed to be delivered (a) for notice delivered
     by personal delivery, on the date of personal delivery; (b) for notice sent
     by mail, on the third (3) day after the prepaid air registered mail is sent
     out (as indicated on the mail mark) or on the second (2) day after given to
     the internationally recognized courier service institution, and (c) for
     notice sent by facsimile, at the receiving time as indicated by
     transmission confirmation letter of relevant document.

     PARTY A: SHENZHEN NEPSTAR PHARMACEUTICAL CO., LTD.

              address: Nepstar Building A-15B, Nanshan District, Shenzhen
              Attention: Simin Zhang

<PAGE>

              Fax: 0755-26401549
              Tel: 0755-26403438

     PARTY B: [REGIONAL NEPSTAR COMPANY]

14.  ASSIGNMENT OF AGREEMENT

     14.1 Without prior written consent of Party A, Party B may not transfer its
          rights and obligations hereunder to any third party.

     14.2 Party A may transfer its rights and obligations hereunder to any third
          party. Party A shall provide Party B with written notice at the time
          of such transference, and Party B's consent is not required with
          respect to such transference.

15.  ENTIRENESS OF AGREEMENT

     Both parties confirm that upon effectiveness, this Agreement constitutes
     the entire agreement and understanding between the parties hereof with
     respect to the subject matter of this Agreement and completely supersedes
     all prior oral or/and written agreement and understanding between the
     parties before this Agreement with respect to such subject matter hereof.

16.  SEVERABILITY OF AGREEMENT

     If any provision under this Agreement is held to be invalid or
     unenforceable due to conflict with relevant law, then such provision shall
     be deemed to be invalid only in the extent of jurisdiction of relevant law
     and may not affect the legal effect of other provisions hereof.

17.  COPIES OF AGREEMENT

     Two original copies of this Agreement shall be signed, each of which is
     held by the parties separately. Each original shall have the same legal
     effect.

IN WITNESS WHEREOF, both parties have caused their respective legal
representative or authorized representative to sign on this Agreement on the
date set forth above as proof of credit.

PARTY A: SHENZHEN NEPSTAR PHARMACEUTICAL CO., LTD.

Legal Representative: Simin Zhang

<PAGE>

Seal:

PARTY B: [REGIONAL NEPSTAR COMPANY]

Legal Representative:

Seal:

<PAGE>

                                    EXHIBIT I

              LOGISTICS SERVICE AND INFORMATION TECHNOLOGY SUPPORT

1. Pharmaceutical Retail System STAR

Systems providing sound pharmaceutical retail and logistics information,
including product managing system, logistics service system and store managing
system. Services covering installation of the system in newly-established
distribution centers and newly-opened stores; providing system upgrade service
and maintenance.

2. Finance System K3

A finance managing platform, including daily finance work, financial analysis
and other functional supports for information system.

3. Office Automatization System

A unified office automatization platform system for the purpose of internal and
external email and office document reviewing and approving.

4. Supplier Information Support Service Platform

A information sharing service platform to provide suppliers with information
regarding sales and inventory.

5. Member Point Managing System

A member point managing system which assists in managing member scores, such as
point accumulation, exchange, exchanging purchase and award drawing. This is
helpful for efficient promotion.

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