The editor's corner: Medical technology and competitiveness in the world market: Reinventing the environment for innovation

✍ Scribed by William W. George

• Publisher: Wiley (John Wiley & Sons)
• Year: 1995
• Tongue: English
• Weight: 647 KB
• Volume: 6
• Category: Article
• ISSN: 1045-4861
• DOI: 10.1002/jab.770060211

✦ Synopsis

THE ROLE OF INNOVATION

Medical technology is truly a global industry, for modern medical devices that save lives and lower health care costs are needed by all countries. And as health care systems are upgraded around the world, growth in international markets will far outpace domestic demand for our products. As a result, the U.S. medical technology industry is today facing increasing competition from foreign firms.

Medical device technology is recognized by the U.S. Department of Commerce as one of the fastest growing industrial sectors. Domestic manufacturers have traditionally dominated the world market, earning an impressive 52% of the world market for medical devices and creating a favorable balance of trade of $4.5 billion. Furthermore, more than 80% of all the devices invented in the past 40 years, like the pacemaker, originated in the United States.

The challenge for U.S. manufacturers is to remain competitive in the expanding world marketplace. My own company, Medtronic, has so far been successful in meeting this challenge. Today, we serve customers in over 80 countries with every type of health care delivery system imaginable. We do so by delivering to patients innovative therapies that lead to fuller lives and provide safe, costeffective therapy. Within Medtronic's success lies the key to ensuring the competitiveness of the U.S. medical technology industry. That key is innovation. Medical technology companies will succeed in the changing world market only if they are architects of innovation, striving for continuous improvement and never resting on their current technology. Medtronic was founded by Earl Bakken, the inventor of the first external, wearable pacemaker in 1957. Over 100 companies can trace their origins to Medtronic, including St. Jude Medical and Cardiac Pacemakers, Inc.