Can Innovative Value-Based Pricing Models Relieve Pricing Pressure in the Medical Device Industry?

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Hospital consolidation is increasing purchasing leverage through greater pricing transparency and that has substantiated a need for new pricing models in medtech. There are challenges associated with several emerging pricing models; regardless, manufacturers will need to develop innovative approaches to maximize opportunity while minimizing risk. By Matthew Majewski and Kira Gordon, CRA’s Life Sciences Practice

Much like the rest of the healthcare sector, the medical device industry is currently experiencing a period of increasing pricing pressure.  As hospitals continue to consolidate—more than 60% of community hospitals now belong to a health system—their ability to negotiate has improved, particularly as it relates to the prices they pay for pharmaceuticals and medical devices.


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