Opportunity Analysis

The Global Endoscopy devices market is on the rise, thanks to the increased adoption rates all around the globe with potential benefits offered by the minimally invasive types. Currently, the market is driven by increased adoption rates, rapid technological advances, favourable FDA approvals and reimbursement scenario and strong inclination from the market leaders to capitalize on the untapped potential of the emerging markets. Currently, the market is dominated by the likes of North America and Europe. However, Asia Pacific region is one market to look out for as it is going to be the fastest growing segment. These have caught the eye of major market players and are looking to establish their stand in these regions. One such destination is China. Companies are planning to enter the Chinese market via agreements, acquisitions, etc. Recently, the likes of Boston Scientific Corporation which can be considered the market leader of the endoscopy market is making investments in the Chinese medical industry. They have entered into an agreement with Frankenman Medical Equipment to develop and manufacture products in China for that market. This deal is a major boost to Boston Scientific as it has been struggling to keep pace with sales growth compared to the whole company. Their acquisition of the Chinese startup Xlumena has resulted in them generating a 5% growth in their endoscopy revenues which is an indication of the potential of the Chinese market. They plan to cater the demand for minimally invasive procedures where most of the surgeries performed in China are open surgeries. It can be clearly observed that the emerging nations reported the strongest sales growth for the endoscopy division of BSG. In the same way, Domain Elite, a venture capital firm have made their first investment in a China based organization. They have invested in SMART Medical Systems, an Israeli developer and manufacturer of endoscopy products. Even Boston Scientific are eyeing to enter the Israeli market by entering into an agreement with Amos Gazit to sell their endoscopy products. This is a major indication to the new market players about the huge potential of the emerging markets. They should be focusing on targeting these markets as they are considerably less expensive when compared to the likes of developed nations. If executed perfectly, investing in the Asia Pacific market will reap huge benefits, given the favorable market scenario in these regions. ItpxXQ2R
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