Medical Devices Report.docx - A Healthcare Medical Technologies Korea Market Study DECEMBER 2016 SUMMARY The healthcare system has improved in Korea

Medical Devices Report.docx - A Healthcare Medical...

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A. Healthcare & Medical Technologies Korea Market Study - DECEMBER 2016 SUMMARY The healthcare system has improved in Korea over the last 60 years thanks to the quick growing economy and development. Health expenditure in Korea – 6.9% of total GDP – is lower compared to the OECD average (8.9%). However, the health expenditure growth rate for Korea has risen rapidly in recent years and is much higher compared to the OECD average growth rate. In 2012 the Korean health expenditure growth rate was 5% while OECD average was only 1.8%. Since 2005, health spending has outpaced economic growth. Demographic changes are one of the main drivers of healthcare expenditure (Growth because of the increasing life expectancy). According to the OECD, the ageing of the Korean population is the fastest among OECD countries. The country will reach an ageing society with 14% of senior citizens in 2018. In 2026, this population is forecasted to reach 20.8% ( “super-aged society” by 2026) and 24.3% in 2030. With the ageing of the population, the the demand for medical services is rising . As a result, sharp rise in healthcare expenditure has been observed, from 3.9% of the GDP in 1980 to 6.5% of the GDP in 2008. Key points Universal healthcare coverage has been established in 1977 and covers the whole population since 1989. The Ministry of Health and Welfare is currently trying to minimise cost increase of the NHI In accordance with the increasing number of medical providers, the healthcare workforce is constantly growing in Korea. Korea has the world's highest rate of cosmetic plastic surgery The Korean government wants to boost medical tourism and targets to attract 500,000 medical tourists into the country by 20171. (Healthcare Industry Promotion Plan is expected to increase Korea’s competitiveness in the healthcare industry. The Ministry of Health and Welfare and the Korea Health Industry Development Institute are improving the country's medical policy and infrastructure for foreign patients. ). The government designated the medical device industry as a strategic sector for growth in 2009 and aims to join the rank of the top seven leaders in medical devices by 2020. The country is among the biggest players for ultra sound imaging systems, dermatologic lasers, and contact lenses. - The Korean level of technology development in medical equipment is primarily medium technology - The majority of local players are SMEs
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SWOT ANALYSIS opportunities The Korean assistive technology market. Even if it is now a niche market, robots are also expected to play an important role in rehabilitation . High demand for artificial joint and orthopaedics and self-diagnosis medical devices is also expected with the ageing of the Korea population Korean large general hospitals , which usually use high-priced up-to-date medical devices, purchase very limited portion of domestic products Digital hospitals aim at improving processes and systems for a higher treatment efficiency. = Artificial intelligence-based solutions
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