How Edwards is Winning With Focus, Not Diversification

While most of the big medtech companies are touting diversification as a strength during this week's J.P. Morgan Healthcare Conference, Edwards Lifesciences made a strong case on Monday for taking the opposite approach with its portfolio. "We have a strategy that's become more and more differentiated in the medtech space," CEO Michael Mussallem said during his presentation. "We choose focus over diversification." Edwards is singularly focused on unmet needs for structural heart disease and the critically ill, Mussallem said.  "And that focus helps us," he said. "It helps us with investment decisions and prioritization. It helps us with being deep in terms of understanding the disease burden around the world. It helps us have a deep understanding of the options." Another key characteristic of Edwards' portfolio strategy is its formula of leadership in those markets that it does compete in, like transcatheter heart valves. "We like to go first," Mussallem said. "That has obvious risks associated with it. As a trailblazer there are risks, but it also allows us to play a formative role in the development of new technologies.  It allows us to have deep and trusting relationships with payers, and regulators, and especially clinicians, thought leaders around the world. And we think that formula allows us to create meaningful value by transforming patient care." The strategy certainly seems to be paying off for the Irvine, CA-based heart valve maker. Mussallem noted during his ...
Source: MDDI - Category: Medical Devices Authors: Tags: Medical Device Business Source Type: news