03262017Headline:

Emerging Markets to Offer Numerous Growth Opportunities for Players in the Electrosurgery Market

In the last decade, the electrosurgery market has witnessed significant technological advancements and robust product developments. The global electrosurgery market is projected to grow at a CAGR of 3.9% from 2016 to 2021. Geographically, this market has been segmented into North America, Europe, Asia-Pacific, and the Rest of the World (RoW).

North America and a major part of Europe are mature markets. In 2016, the North American electrosurgery market is expected to account for the largest share of the electrosurgery market due to technological advancements in electrosurgical devices, rising number of surgical procedures, growing number of ambulatory surgical centers, and the strong presence of key players in the North American Market. Furthermore, rapid growth in obese and aging population in this region is expected to contribute to the growth of this regional segment. However, the Asia-Pacific region is expected to register the highest CAGR during the forecast period. Growth in this market is fueled by growing demand for cosmetic and plastic surgery, increasing government efforts to raise the standard of healthcare, and the presence of huge population base. The availability of high-quality surgical treatments at lower costs has increased medical tourism in this region, thereby driving the market growth.

The key players in this market are focusing to strengthen their position in emerging markets by adopting both organic and inorganic growth strategies. For instance, in October 2015, Bovie Medical Corporation purchased its Bulgarian R&D and manufacturing contractor- Bovie Bulgaria. This acquisition helped the company to have full control over R&D for advanced surgical energy technology. Likewise, in March 2015, Covidien established the Covidien Center of Innovation Turkey (CCI Turkey) in Istanbul to increase awareness about various diseases and their available treatments. This center provides information and training of procedures and protocols for the treatment of vascular diseases, metabolic disorders, and COPD (chronic obstructive pulmonary disease). A number of market players are focusing on expanding their business in emerging Asia-Pacific countries, which is expected to drive the market in coming years. For instance, Olympus Corporation (Japan) expanded its production capacity by establishing three new manufacturing sites in Japan during 2015–2016. In August 2012, Covidien opened its new R&D facility (China Technology Center (CTC)) in China and its first medical training and education center (Covidien Center of Innovation (CCI)) in India.

In addition, emerging markets such as China, India, Brazil, and Mexico are expected to offer significant growth opportunities for market players owing to the rising trend of medical tourism in these emerging counties. In comparison to the U.S., patients can, by performing procedures in India, save up to 60%-80% of the cost of medical procedures such as heart bypass, hip replacement, and spinal fusion; 40%-60% for aesthetic plastic surgeries like lipoplasty and rhinoplasty. Similarly, patient can save up to 40%-60% for cosmetic surgeries, in comparison to the U.K. prices, if the surgery is performed in India. Furthermore, these countries have less-stringent regulations and data requirements as compared to developed nations; therefore, companies find regulatory policies in the Asia-Pacific region to be adaptive and business-friendly.

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