《Dental Equipment Growth in International Dental Industry Report.pdf》由会员分享，可在线阅读，更多相关《Dental Equipment Growth in International Dental Industry Report.pdf（31页珍藏版）》请在三一文库上搜索。
1、 Disclaimer The research reports provided by A also a relatively constant percentage of Americans with dental insurance coverage. Industry Experts believe the dental expenditure might decline 4% year over year to US$ 92.5 billion. Because of the slump in the economies of many countries which amounte
2、d to huge job losses in late 2008 and early 2009 would affect the dental expenditures and would lower them considerably before improving later in the year. Figure 2.3: Source of Dental Expenditures in United States in 2008 49% 44% 7% Dental InsuranceOut-of-PocketFederal Funds (Primarily Madicaid) So
3、urce: Centre for Medicare HSIC- Henry Schein 2.2 European Union The European market (17 countries) for dental equipment and consumables is estimated at US$5.90 million in 2006, the break up of which is as follows: Figure 2.5: European Dental Equipment and Consumables Break-up in 2007 62% 28% 7% 3% C
4、onsumablesEquipmentsTechnical ServicesTeeth Source: Association of Dental Dealers in Europe, 2007 In the period 2002-2006, the overall market grew by 1.5% per annum, mostly driven by equipment (2%) as consumables sales grew 1.1% per annum on average. UK and Germany were the fastest growing countries
5、 while growth in Italy and France has been zero in recent years. The European market is very fragmented with Germany only having more than 170 distribution depots for dental equipment 35% to extra-EU countries; 18% to DC. 2.2.1 Germany The German Dental market is the third largest in the World after
6、 the United States and Japan and largest single market inside the European Union. The domestic German market, which is still very important, experienced a slight decrease in turnover during the same review period. There was a reduction in turnover in 2008 as compared to the previous year due to cert
7、ain reluctance in the investment sectors in dentistry and dental laboratories in the last quarter of the previous year. The continuing uncertainty of customers with regard to the impending fee reforms in Germany was the major contributing factor. From the point of view of the dental industry it is g
8、ratifying that players are mainly optimistic regarding German domestic trade in 2009, despite the ongoing economic crisis. Figure 2.8: Germany, Dental Care Market Revenues (1999-2008) 2.25 2.43 2.5 2.91 3.52 3.97 3.98 4.39 5.21 5.73 0 1 2 3 4 5 6 7 1999200020012002200320042005200620072008 US$ Billio
9、ns Source: Certified Revenues Survey by the VDDI The German Medical Products Law (MPG) of 1995 underwent a second revision, which took effect in January 2002. It applies to all equipment, instruments, devices, and materials, which are used on or in the human body. The only exceptions are those devic
10、es, which achieve their intended effect pharmacologically. About 400,000 different medical products fall under this legislation. The MPG implements EU guidelines covering medical and diagnostic products. Devices complying with the MPG or its equivalent directives in other EU countries must carry the
11、 CE mark. They have the advantage of being allowed on the market anywhere in the EU without further certification requirements. 2.3 Asian Markets Demand for medical equipment in India is escalating. The Indian market for medical equipment is valued at US$2.3 billion in 2008 and would reach around US
12、$5 billion by 2012. According to industry experts, the Indian dental care services market in 2007 was estimated to be around US$500 million. The Indian dental equipment and appliances market size was approximately US$66 million in 2005 and is expected to reach US$85 million by 2010. The dental consu
13、mable market in India was estimated at US$600 million in 2005 and is estimated to reach US$700 million by 2010. Also there has been a growing demand for cosmetic dentistry in India. Figure 2.9: Indian Dental Market in 2007 0 100 200 300 400 500 600 700 800 Dental Care and ServicesDental equipment an
14、d appliances Dental Consumables US$ Millions Source: Indian Dental Association The fast growth of the dental market is due to: ? Increasing awareness of the importance of dental hygiene and oral health ? changing consumer habits and practices ? rising incomes and standards of living ? New treatment
15、approaches with increasing demand for cosmetic and restorative procedures. 3. Industry Developments 3.1 Changing Trends for Dental Insurance Worldwide demand for dental treatment is rising with individual focus turning towards dental implant and many other therapies to change the denture structure.
16、In developed countries like United States people are more health conscious where they happily get ready to spend a high amount over dental treatment. This healthy lifestyle trend has given birth to dental insurance wherein insurance effectively reduces the cost of dental procedures for the patient.
17、As a result, patients visit the dentist more often and substitute higher priced care for less expensive alternatives. According to the United States Department of Health and Human Services, the average annual dental expenditure for insured individuals (that visited the dentist in the past 12 months)
18、 is 40% higher than for those without dental coverage. Figure 3.1: Rising Dental Expenditures in United States (US$ per capita) (2003-2010E) 250 260 270 280 290 300 310 320 330 2003200420052006200720082009E2010E Source: Centre for Medicare and Medicaid Services These changing trends and rising level
19、 of dental expenditures (except for recession period) have strongly supported dental equipment market and in future demand for dental insurance is expected to rise, reflecting growing demand for dental treatment. 3.2 Free Dental Care, Ontario Poverty Reduction Strategy Ontario is moving forward with
20、 its Poverty Reduction Strategy by providing urgent and essential dental care free-of-charge to children in low-income families. The Children in Need of Treatment (CINOT) program currently provides emergency dental care to low-income children from birth to age 13. In the first quarter of 2009, the p
21、rogram expanded to reach children up to age 18. It will also provide out-of-hospital anaesthetic coverage for children age five to 17. The government is also working with Public Health Units, Community Health Centres, Dentists and Dental Hygienists to build community capacity and expand prevention a
22、nd treatment services for low-income Ontarians, especially children. The governments total investment in low-income dental services will be US$45 million annually when fully implemented. Ontarios Poverty Reduction Strategy is designed to build a stronger economy by creating more opportunity for all
23、low-income families and children. The strategy sets a goal of reducing child poverty by 25 percent in 5 years with lifting 90,000 children out of poverty. 3.3 Medical Tourism in India Indian government is taking many initiatives to promote Indian tourism industry and from last eight years (2000-2008
24、) numbers of tourists have increased. Also medical facilities are becoming better day by day which has made the country an important place for dental tourism. India treated 450,000 foreign patients in 2007, ranking second in medical tourism. It is estimated that the medical tourism in India could be
25、come a US$2 billion industry by 2012, up from US$350 million in 2006, thus growing at a rate of 25-30% annually. The dental sector is a highly personalized service sector and realizing the importance of the export potential of this service, several incentives are now being planned to provide a boost
26、 to dental tourism. Even amidst the on- going economic crisis, dental tourists are heading towards Asian countries for various dental treatments. India, which has been making news in the recent past as a medical tourism hub, still continues to attract a large number of dental tourists. Aside from th
27、is internal market, the other sources of patients are diverse with 28 percent from Europe and 21 percent from North America. In developed countries, the cost of dental treatment is extremely high and this has given a strong reason for patients to opt for dental tourism. A patient who requires a root
28、 canal treatment for a front tooth would end up paying US$350-US$600 and the same treatment would cost anywhere between US$800-US$41000 for a crown tooth. In case of India, the same procedures would cost around US$35-US$125 in India. 3.5 Opportunities in Indian Market for Dental Care India is one of
29、 the leading global providers of worlds highly-effective class medical facilities with through a wide range of hospitals and specialized multi-specialty health centers serving people with their expertise in areas such including as cosmetic surgery, dental care, heart surgeries and coronary bypass. I
30、ndia has one of the lowest cost and highest quality of all medical tourism destinations. The country houses several Joint Commission International (JCI) accredited hospitals, accredited by the Joint Commission International (JCI), which utilize offer world-class services with their highly trained ph
31、ysicians and cutting-edge medical technologies. Indias National Health Policy declares that treatment of foreign patients is legally an “export“ and deemed “eligible for all fiscal incentives extended to export earnings. India produces churning around out an estimated 20,000 to 30,000 doctors and nu
32、rses each year. Around 180,000 foreigners travelled to India for healthcare purposes in the first eight-and-a- half months of fiscal year 2008-09. Their number is expected to increase by 225 to 25% in coming years. Figure 3.2: Inflow of Foreign Patients (2005-2008) 150 272 180 0 50 100 150 200 250 3
33、00 200520072008 Foreign Patients in 000 Source: CII Note: 2008 figure is for first eight-and-a-half months of FY2008-09 3.4 Product innovations Over recent years, technical innovations have proved a major driver for the dental market. X- ray systems are being replaced by 3D scanning/PACS systems and
34、 now new CAD/CAM technology are slowly being introduced in the dental labs as well as bleaching and laser technology. As a result, a traditional replacement market has changed into an expansion market for more sophisticated equipment. The percentage of patients with dental insurance coverage, a grea
35、ter emphasis on cosmetic dentistry, and the growing use of pharmaceuticals and diagnostic procedures in dental practices are all accelerating dental spending. These trends have resulted in a need for greater dental practice productivity, which is driving equipment and technology sales. To speed up a
36、nd improve orthodontic treatment, a team of orthodontists at The University of Texas Health Science Center at San Antonio have developed a new device called the AcceleDent. Also scientist found vibration therapy as an important method to help the patients suffering with osteoporosis, muscle loss and
37、 joint pain. 4. Country Analysis: Risk Assessment 4.1 Political and Macro Economic Environment This analysis helps the policy makers and new companies to analyse the countys environment and formulate strategies accordingly. 4.1.1 United States The United States is a democratic federal republic with
38、two years term for an elected president. At present the new administration is under Mr. Barack Obama with a focus on containing the financial crisis, but with a healthy majority of his Democratic Party in both houses of Congress. Federal public finances will deteriorate sharply in 2009 and 2010. REA
39、L GROSS domestic product (GDP) decreased at an annual rate of 1.0 percent in the second quarter of 2009, according to the “second” estimates of the national income and product accounts (NIPAs). In the first quarter, real GDP decreased 6.4 percent. Real disposable personal income (DPI) increased 3.8
40、percent after increasing 0.2 percent (revised). The acceleration primarily reflected an upturn in current-dollar DPI that mainly resulted from a sharp upturn in personal income that was partly offset by a smaller decrease in personal current taxes. Consumer spending turned down in the second quarter
41、, subtracting 0.69 percentage point from the percent change in real GDP. Downturns in spending for both durable goods and nondurable goods were partly offset by an upturn in spending for services. Table 4.1: United States Economic Outlook (2007-2010E) Subject Descriptor Units 2007 2008 2009E 2010E G
42、ross domestic product, current prices U.S. dollars 14,077.65 14,441.43 14,266.20 14,704.21 Gross domestic product per capita, current prices U.S. dollars 46,673.95 47,439.93 46,442.64 47,400.35 Gross national savings Percent of GDP 14.493 12.63 10.955 12.64 Inflation, average consumer prices Percent
43、 of GDP 2.86 3.79 -0.391 1.72 Employment Persons 146.05 145.34 140.603 141.45 Source: IMF 4.1.2 Europe In the European region since 1989, political developments have been dominated by the break- up of the former communist federations and the move to multiparty parliamentary democracy. Democratic tra
44、ditions are weak in most countries in the region. Although democratic forms of government are in place in central Europe, the Baltic States and the Balkans, the substance of democracy including a political culture based on trust and healthy levels of political participation is often absent. The comm
45、unist period lasted much longer in the former Soviet Union, and political developments in most parts of the region have been characterised by a drift towards authoritarianism. The end of the cold war has led to open or latent disputes over boundaries and the position of ethnic minorities. The speed
46、and extent of reform and of institutional change varies widely across the region. Countries with proximity to Western markets and with stable political outlooks have proceeded faster and more successfully with stabilisation, liberalisation and privatisation. Eurozone 1GDP fell by 0.1% and by 0.3% in
47、 the EU27 during the second quarter of 2009, compared with the previous quarter, according to flash estimates published today by the EU statistics office. In the first quarter of 2009, growth rates were -2.5% in the Eurozone and - 2.4% in the EU27. The German economy expanded slightly in the second
48、quarter of 2009 for the first time since the first quarter of 2008, according to the German statistics office Destatis. Gross domestic product increased 0.3% in the second quarter of 2009 on the previous quarter.Compared with the second quarter of 2008, the price-adjusted GDP product was down 7.1%.
49、Germanys economic performance decreased 5.9% on a year earlier. The French economy also expanded 0.3% in the latest quarter. Compared with the same quarter of the previous year, seasonally adjusted GDP decreased by 4.6% in the Eurozone and by 4.8% in the EU27 in the second quarter of 2009, after -4.9% and -4.7% respectively in the previous quarter. 1 The Eurozone (EA16) consists of Belgium, Germany, Ireland, Greece, Spain, France, Italy, Cyprus, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia and Finland. 4.1.3 Asia Southeast Asias poli