Analysis of "Reverse Innovation" of General Medical Devices in China

Analysis of "Reverse Innovation" of General Medical Devices in China

GE CEO Jeff Immelt has proposed the concept of “reverse innovation”, which means to innovate from the place closest to demand, rather than the traditional way for developed countries to bring innovations such as technology and products to developing countries. . Now, GE China is practicing his philosophy.

"Global standardization products dominate the world, and today it is no longer a reality for most companies," said Li Guowei, GE's China public relations director. Deep farming in the inland second and third tier cities is GE's next step, which is undoubtedly the localization of the entire industry chain including products and channels. "This needs to be innovative to cater to the Chinese market." Li Guowei said.

For China's primary health care market, GE China has established an innovation center in Chengdu, in the west, because it is closer to the market the company is targeting. What products are needed in rural and county markets? This is not something that the R&D department in the United States or even the eastern part of China can think of, but needs to enter the target market and listen to the voice of customers.

GE has gained something now. For China's grassroots target customers, GE China has developed low-end CT and portable ultrasound products, which are popular among users. In GE's view, China's innovation environment is getting better and better. “China’s intellectual property protection environment is strengthening, and Chinese companies have made a huge leap in registering patents and strengthening intellectual property management. Some Chinese companies have already ranked among the top companies in the world with the most patents. Multinational companies need to take advantage of this environment. To speed up innovation, we can truly protect our own interests." Li Guowei said.

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