Acquisitions and New Product Launches Are the Key Strategies Adopted by Major Players in the Medical Gases and Equipment Market

The medical gases and equipment market is characterized by the presence of a large number of local players and a few top players globally. The major five players of this market accounted for around 70% of the market share in 2015; most of the key players in this market are based in developed countries across North America and Europe. Some of the leading players in this market include The Linde Group (Germany), Air Liquide (France), Praxair, Inc. (U.S.), Air Products and Chemicals, Inc. (U.S.), and Airgas, Inc. (U.S.).

The Linde Group (Germany) led the medical gases and equipment market in 2015. This is majorly attributed to the company’s diversified product portfolio, which includes a wide range of medical gases and equipment such as medical oxygen, nitrous oxide, medical nitrous oxide/oxygen mixtures, liquid nitrogen freezers for cryopreservation, and home care and emergency care services. Moreover, the company has a strong presence in around 100 countries globally. In order to gain a competitive edge in this market, the company focuses on acquiring similar players and strengthening its portfolio for the healthcare market. For instance, in January 2016, the company acquired American HomePatient, Inc. (U.S.), a company that provides home healthcare products and services across the U.S. Similarly, in August 2012, it acquired Lincare, Inc. (U.S.), a company that provides oxygen and other respiratory therapy services for the homecare market in the U.S.

Air Liquide (France) was the second leading company in the medical gases and equipment market in 2015. This is majorly attributed to the innovative product portfolio of the company for the medical gases and equipment market. The company focuses on new product launches, acquisitions, and expansions, which help it to strengthen its presence in the global market. For instance, in September 2015, the company acquired Messer Aligaz Sanayi Gazlari (Turkey), a subsidiary of Messer Group GmbH, in order to enter the Turkey market. The company also expanded its presence in China by opening a new research center in February 2016.

Acquisitions and new product launches were the key strategies adopted by major players in the medical gases and equipment market from 2012 to 2016. Of the two, acquisitions was the preferred growth strategy as it enabled players to expand their product portfolios and improve their presence in the local markets.

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