On the Asian Front

Originally Published MX November/December 2001

BUSINESS PLANNING & TECHNOLOGY DEVELOPMENT

On the Asian Front

For medtech manufacturers, the key to exploiting business opportunities in Asia is an understanding of cultural differences.

Ames Gross and Shawna Lepage

Asia offers U.S. medical device companies an attractive market that should not be ignored, for several reasons. First, Asia’s population of 3.5 billion people represents about 60% of the world total. In addition, Asia is becoming increasingly wealthy. Average economic growth rates through the 1970s, 1980s, and 1990s have been in the neighborhood of 10% for most Asian countries. Per capita incomes in Hong Kong and Singapore match those in the United States.

The Asian market is huge and growing. In contrast to the 3.5 billion in the East, only 310 million people live in North America; that amounts to 5% of the world’s population. The European markets are big but not, even cumulatively, in Asia’s league. Moreover, while they are fairly wealthy, they are also mature, with little room