EssentialMed Foundation: A stuck innovator
Today, 14% of the world’s population (US, Japan and Europe) accounts for over 80% of the medical devices market. Lower income countries (aka the Global South) do not have access to essential medical imaging devices such as X-Ray machines. The main reasons are initial costs, reliability and maintenance. An EPFL-led team of 40 academics and specialists developed a proof-of-concept for a digital radiography machine. It was designed specifically to address the harsh environment and unreliable electrical supply found in the Global South at a tenth of the cost of competitors. Bertrand and Klaus, the two project leaders, have been struggling to find investors to enable their EssentialMed foundation to complete the development and commercialization of the product in Africa. But investors didn’t seem to get it. What were they missing? EssentialMed was nearly out of funds, with its one full-time equivalent employee position at risk. EssentialMed desperately needed to raise additional funds but did it have the right strategy, business model and approach to investors?
The case can be used to achieve the following learning objectives: 1) How to create and capture value for end users and investors. 2) How to provide access to high capital intensive equipment to low income countries (service instead of product). 3) How to compare and choose financially between different projects (e.g. IRR, NPV, breakeven). 4) How to involve stakeholders in product development (co-creation).
EssentialMed Foundation, Healthcare, Medical Equipment
2009-2015
Cranfield University
Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Email [email protected]
Harvard Business School Publishing
60 Harvard Way, Boston MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]
NUCB Business School
1-3-1 Nishiki Naka
Nagoya Aichi, Japan 460-0003
Tel +81 52 20 38 111
Email [email protected]
IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.
Research Information & Knowledge Hub for additional information on IMD publications
Bossard, a Swiss company founded in 1731, has successfully transitioned from a product-centric approach to one that offers services and solutions. ...
99designs.com is a global platform connecting freelance designers with potential clients. The case study examines the potential impact of generativ...
In this study, we analyze how the performance-aspiration gap influences strategic change in family firms, providing evidence of the moderating role...
The call by the former Italian prime minister and ECB president for massive investment in the EU is a wake-up call to Europe's economic stagnation....
The case highlights the significant role played by the International Olympic Committee (IOC) in reducing its environmental footprint and promoting ...
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD
Research Information & Knowledge Hub for additional information on IMD publications
in Review of Managerial Science October 2024, vol. 18, pp. 2981-3005 https://doi.org/10.1007/s11846-023-00703-3
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications