With a sticker price of up to $1.6 million, MRI machines were not
affordable across much of the developing world in 2007. After all,
household incomes are considerably lower than in developed countries,
and in India, for example, there is no formal health insurance system to
compensate providers for MRI exams. Indian physicians charge about $150
for an MRI procedure, compared to $1,000 and up in the United States.
Yet, the Indian market (and others throughout the developing world) is
enormous -- and the demand is real. But a scaled-down, low-quality MRI
unit was out of the question for GE Healthcare. For one thing, Indian
physicians know the state of the art of western technology. "They attend
conferences here, they have family here," says Jim Davis, vice
president and general manager of GE Healthcare's Magnetic Resonance
business, who is based in the United States. "Some of them trained
here." Besides, he says, "We are on a mission to provide quality care in
all markets. A human being is a human being. We don't want to
discriminate. We want to bring the same diagnostic tools to India as the
U.S."
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