There are few circumstances that have the potential to dislodge Big Ortho's dominant grip on our industry.
Let me share one specific blind spot that could be the Achilles heal for Big Ortho.
Today - Big Orthos Competitive Advantage
The top 10 orthopedic companies today are: Stryker, DePuy-Synthes, ZB, S+N, MDT, Arthrex, DJO, NUVA, Wright Medical, OFIX. They control the world market... most of the implants, instruments, capital equipment and disposables. Life is good for Big Ortho companies as they manage millions of products worldwide on a daily basis.
So what do these top 10 incumbents actually have that keeps them in power? (hint: it’s not technology or innovation... it’s SCALE.) It can be boiled down two areas:
#1 - Big Ortho provides a huge selection of product choices.
#2 - Big Ortho provides armies of sales people.
Today, Big Ortho has all of the leverage with hospitals and ASCs, because of their immense product selection, endless inventory and ubiquitous rep service. Surgeons are hooked on "inventory choice". Hospitals are hooked on the service. The sales rep is the delivery mechanism for the equipment. The sales rep is also the techn...
