RESEARCH TRIANGLE PARK, NC--(Marketwired - December 07, 2016) - Research into medical device acquisitions reveals the industry's M&A approach regarding new product development. The research, conducted by business intelligence firm Cutting Edge Information, revealed that although device companies outside the Top 50 develop most of their products in-house, 60% of the largest device makers look to acquisitions to build their portfolios.
Medical device manufacturers use acquisitions to gain technology, intellectual property or complete businesses. Medical device development and commercialization consume a lot of resources. Instead of keeping all efforts in-house, many device manufacturers acquire new products to move faster from the laboratory to market.
"Medical device manufacturers look to partnerships and collaboration to help with both product development and early commercialization," said Adam Bianchi, senior director of research at Cutting Edge Information. "Some companies may work together to develop and support just one product."
The research on medical device acquisitions is part of a more comprehensive study on device commercialization. In the study, Medical Device Development: Benchmarking Early-Stage Product Management and Promotion, case studies demonstrate the mindset that medical device executives take when examining their portfolios.
The other side of the acquisition coin is technology acquisition. The study found that 50% of medical device acquisitions are aimed at adding new technology to the company's platform. However, firms must be careful before purchasing new technologies. Companies should always be aware of the potential problems that may arise in the future.
For example, one interviewed device company executive warned that companies should scrutinize FDA-regulated technologies the same way that regulators would prior to the acquisition. By doing so, companies are more likely to learn about all the potential problems ahead of having to reveal them to the FDA.
Medical Device Development: Benchmarking Early-Stage Product Management and Promotion, available at http://www.cuttingedgeinfo.com/research/marketing/medical-devices/, explores the resources and best practices necessary to support new product planning and commercialization for US-based medical device launches. This benchmarking study, conducted through primary research interviews and surveys, includes:
- Profiles of medical device firms and their products, highlighting human and financial resources supporting development and commercialization, product development timelines and expected commercial success.
- Data on anticipated US commercial success, including market size, market share and competition levels.
- Commercial board staffing benchmarks as well as best practices for integrating stakeholders across multiple firms and communicating throughout the development process.
- Expert insights on selecting the best regulatory pathways for emerging medical technology products, implementing clinical trials and partnering to support development.
To learn more about Cutting Edge Information's primary benchmarking research on medical device development and commercialization or other life sciences topics, please visit http://www.CuttingEdgeInfo.com.
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