Although domestic high-end medical equipment has been suppressed by the market, these products have had a huge impact on multinational companies, forcing their products to cut prices by hundreds of thousands and millions of yuan, and even some products have withdrawn from the Chinese market. At present, multinational companies are looking to hospitals in second- and third-tier cities.
At the same time that domestic high-end medical equipment is called a multinational medical device company, multinational medical device companies have to adjust their Chinese market strategy: price cuts and some products will withdraw from the Chinese market.
The main competitors of domestic high-end medical device companies are GE Healthcare, Siemens, Philips, Johnson & Johnson, Medtronic, and BD. It is learned from the medical equipment quality activities that although some domestic regions resist domestic medical device products, these products have had a huge impact on multinational companies, forcing their products to cut prices by hundreds of thousands, millions of dollars, and even appear. Some products have withdrawn from the Chinese market.
GE Healthcare is one of the most expensive companies among the largest imaging equipment manufacturers. According to relevant personnel of the company, GE Healthcare's product and service positioning and pricing strategy are based on market and customer needs. "We believe that the healthy competition in the medical industry is conducive to the healthy and orderly development of the medical industry. We have also been committed to designing, developing and producing products and services suitable for the Chinese market and Chinese customers, so that more people can be more affordable. The cost of getting better medical care."
"We have not produced syringes." Huang Rongquan, director of the Beijing plant of BD, admits this fact. He said that in the past, BD has occupied about 80% of the market in China. "Syringe is an entry-level product for medical devices. We feel that there is no sales advantage now, so we have withdrawn from the Chinese market. Now we mainly do high-tech intravenous indwelling needles to develop new products for the Chinese market. Although the price is 25 yuan per domestically expensive. Around, but the product sales are very good."
Huang Rongquan pointed out that he is very familiar with the products of the competitor Shandong Weigao. The company often buys the products of domestic enterprises in the market and analyzes their development. "I feel that competition can make everyone progress, but for the price of our US headquarters there are certain principles, not a low-cost competition strategy."
Johnson & Johnson is the founder of the heart stent. In January 2014, MicroPort acquired the drug-eluting stent-related assets of Cordis, a Johnson & Johnson company. "For related issues, we are not in a position to comment." Johnson & Johnson related personnel said that Johnson & Johnson decided in 2011 that Cordis will withdraw from the global heart stent business market, including the Chinese market. The reason for the exit is based on the business adjustments made by the company's long-term strategy. At the same time, Johnson & Johnson will bring together more scientific research and advanced technology to provide other world-class professional products and services for patients with cardiovascular diseases.
At present, domestic high-end medical device enterprises are located in second- and third-tier cities, and the future competition will be fierce, because multinational companies have also seen business opportunities.
GE Healthcare previously served a high-end customer base, a large hospital in a big city. With the launch of the medical reform in 2009, GE Healthcare clearly stated in 2010 that it will accelerate the localization of the primary medical market. Of the 29 new products GE Healthcare has developed and launched for the Chinese market in the past three years, 70% are targeting the primary care market.
"The indwelling needle line runs 24 hours, and now many customers are hospitals in second- and third-tier cities." Huang Rongquan also said that doctors in small and medium-sized city hospitals like BD products very much, and even some orders are more than the top three hospitals in big cities.
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