Medtech Insight is part of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC’s registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call +44 (0) 20 3377 3183

Printed By

UsernamePublicRestriction
UsernamePublicRestriction

Stryker Discusses Gainsharing, Looks To Diversified Product Line For Growth

This article was originally published in The Gray Sheet

Executive Summary

Stryker has doubts that gainsharing efforts being considered by hospitals as a way to mediate rampant price increases for certain orthopedic and cardiac devices would be well received by physicians

You may also be interested in...



Med-Tech Earnings In Brief

Zimmer on gainsharing deal: Orthopedic firm concludes contractual agreements, sets June 1 as a starting point in gainsharing deal with HCA, the largest for-profit hospital group in the U.S. "The opportunity to chase several millions of dollars of new business with a less-crowded field of competitors is always welcome, provided real compliance is delivered," Zimmer CEO Ray Elliott said during a second quarter conference call. Zimmer believes there is little downside to the arrangement, but the firm is monitoring the situation, and thus far "we do not have any proof that this construct will move material amounts of business. Failure to do so must result in a return to higher prices and/or less services." Under the deal, HCA will only purchase reconstructive implants from Stryker, Zimmer and J&J/DePuy (1"The Gray Sheet" April 25, 2005, p. 19). "If it works, it is a great opportunity; if not, I'm not concerned," Elliott stated...

Med-Tech Earnings In Brief

Zimmer on gainsharing deal: Orthopedic firm concludes contractual agreements, sets June 1 as a starting point in gainsharing deal with HCA, the largest for-profit hospital group in the U.S. "The opportunity to chase several millions of dollars of new business with a less-crowded field of competitors is always welcome, provided real compliance is delivered," Zimmer CEO Ray Elliott said during a second quarter conference call. Zimmer believes there is little downside to the arrangement, but the firm is monitoring the situation, and thus far "we do not have any proof that this construct will move material amounts of business. Failure to do so must result in a return to higher prices and/or less services." Under the deal, HCA will only purchase reconstructive implants from Stryker, Zimmer and J&J/DePuy (1"The Gray Sheet" April 25, 2005, p. 19). "If it works, it is a great opportunity; if not, I'm not concerned," Elliott stated...

Wright on gainsharing

Orthopedic industry "gainsharing [arrangements] will not be successful going forward," Chairman Barry Bays says during a Thomas Weisel Partners Growth Forum in San Francisco, Calif. June 15. In addition to the legal hurdles presented by the concept, the "incentives will not outweigh the need of orthopedic surgeons to have choice" in implants. In addition, Bays says that while Wright Medical is not interested in conducting direct-to-consumer advertising, the firm has benefited from Stryker's Jack Nicklaus campaign, which has increased consumer awareness of hip implants (1"The Gray Sheet" April 25, 2005, p. 19)...

Related Content

UsernamePublicRestriction

Register

MT022001

Ask The Analyst

Please Note: You can also Click below Link for Ask the Analyst
Ask The Analyst

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts

Cancel