Seiji Kamijo, Philips' boss in Japan, said the Japanese government was enacting controls to counter growing healthcare costs through reimbursement reductions and hospital reforms.

This could create increased domestic demand for healthcare services and the need for value-added technologies and services.

He said Japan last year made up almost 50 per cent of Philips' Asia-Pacific medical trade.

Philips has also enjoyed growth of around 20 per cent in trade of medical systems in Japan over the past five years. The overall health market in Japan is growing by around 2 per cent a year.

Kamijo said the company had a 15-per-cent share of the Japanese healthcare market, following Toshiba with 35 per cent and GE at 20 per cent and ahead of Siemens with 15 per cent.

"We want to grow in Japan to reach a similar position to that achieved worldwide, where we have a market share of 22 per cent," said Kamijo.

"We have grown on average 20 per cent every year and we want this to continue. We have focused primarily on the high end of the market and are now expanding into the medium and low end."

Kamijo said the company would focus on delivering an outstanding service and offering advanced clinical applications.

Kwanchai Rungfapaisarn

The Nation