Hospitals, Lifecare & Pharma

Industries : Hospitals, Lifecare & Pharma

The Indian pharmaceuticals market is the next biggest concerning quantity and thirteenth largest concerning value, according to a report by Equity Master. India is the biggest provider of generic medications internationally using all the Indian generics accounting for 20 percent of global exports concerning volume. Naturally, consolidation is now a significant feature of the Indian pharmaceutical marketplace as the business is extremely fragmented.The Indian pharma industry has been growing at a compounded annual growth rate (CAGR) of more than 15% over the last five years and has significant growth opportunities. However, for the industry to sustain this robust growth rate till 2020, companies will have to rethink their business strategy. They will have to adopt new business models and think of innovative ideas to service their evolving customers faster and better.

Entry of both corporates and startups in providing professional care services at home could give India’s healthcare industry a new lease of life.It is the world of healthcare at home. Not only are we more comfortable, but the service is also cheaper — almost 3-5 times lesser than standard hospital charges. As healthcare services make deeper inroads into people’s houses, it looks like soon only highly specialised services such as surgeries will remain confined to the hospitals.

With quality, outcomes, and value being the watchwords for health care in the 21st century, sector stakeholders around the globe are looking for innovative and cost-effective ways to deliver patient-centered, technology-enabled “smart” health care, both inside and outside hospital walls.Health care stakeholders are pursuing new cost reduction measures, such as developing alternative staffing models, shifting patients to outpatient services, and reducing administrative and supply costs. In addition, they are exploring new revenue sources such as intellectual property (IP) capitalization, investing in JVs, commercializing their foreign assets, and launching new companies and philanthropic organizations.

Rapid economic growth and growing population have combined to create a critical situation for Southeast Asian governments. Even as the spending on healthcare systems in the region has increased with the increase in incidences of adverse health conditions it looks like demand is outstripping the supply of healthcare in the region.Meanwhile, the private healthcare market is strengthening its position. Private investment is increasing rapidly in order to meet the increasing demand. Developed areas in the region such as Singapore and Malaysia are providing world-class services to both local and international patients. The region also enjoys the benefits of having a strong medical tourism industry. The region’s healthcare market is projected to be worth US$134.2 billion by 2020. The private sector is likely to continue to be dominant, accounting for a 53 per cent share and is forecasted to reach US$71 billion in 2020, nearly double the size in 2010.

In 2020, wearables will also shape the quality of life of the consumer in America, capturing and tracking how people live with and manage their condition. Consumers and providers alike can integrate information across multiple devices seamlessly to create a comprehensive view of the individual. With a widespread adoption of wearables beyond the keep-fit and health fanatics, and the affordability of specialist medical or bio-sensing wearables, the new clinician/patient partnership will be based on improved awareness, self management and prevention, replacing the paternalistic approach of the old.

The Indian pharma industry, which is expected to grow over 15 per cent per annum between 2017 and 2020, will outperform the global pharma industry, which is set to grow at an annual rate of 5 per cent between the same period!.

It is also predicted that by 2020, the pharmaceutical industry will have made real inroads in repairing the negative corporate reputation that has plagued it over the last few decades. Tackling corporate reputation has been a top priority for all pharmaceutical companies, though for most, full rehabilitation will require a few more years.

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