GE Healthcare (A): Innovating Emerging Markets Read case study titled "GE Healthcare (A): Innovating Emerging Markets" Write a page paper: Determine (2) emerging trends external environment prompted General Electric (GE) Healthcare develop a strategy production marketing a low cost Electroencephalography (EEG) machine bottom pyramid markets (BOP).
GE Healthcare (A): Innovating for emerging markets
India's population of patients with serious heart-related conditions is rapidly expanding: as unfortunate as the statistic that over 80% of heart-related deaths now occur in the developing world may be, from General Electric's perspective this was an opportunity it could capitalize upon. There was clearly a need for new medical devices to screen for and treat these conditions. However, when developing a new low cost electroencephalography (EEG) device, GE was acutely aware of the fact that it would have to adjust its approach to the unique needs of the foreign marketplace it wished to enter: it could not simply transplant its business model wholesale into India.
India was attractive to GE in part because it cohered with the company's new initiative called Healthyimagination to improve the quality and reduce the costs of healthcare around the world (Singh 2011: 2). Domestic healthcare equipment manufacturers in India primarily competed upon cost although their quality was inferior. GE had provided some devices to Indian hospitals but only very large, affluent hospitals could afford foreign devices, thus limiting GE's ability to infiltrate the market (Singh 2011:2).
GE decided to treat the Indian market as separate from its other markets to be able to cater to the unique needs of this segment. It made India into an independent profit and loss center to highlight its importance (Singh 2011:3). The Indian market was special because of its large size and expanding demand -- coupled with its relative poverty and lack of access to healthcare...
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