Teaming Up to Supply Devices to Managed Care
The desire of managed care customers and group purchasing organizations to be serviced by large distributors is limiting the ability of small- and mid-sized device companies to access customers directly. Smaller companies have responded with reliable service and quality, cost-effective products. In most niche markets, customers have temporarily accepted the small-company argument. But all suppliers expect increased consolidation by customers, suggesting more alliances will be required to sustain innovation and quality throughout the marketplace.
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