This article was originally distributed via PRWeb. PRWeb, WorldNow and this Site make no warranties or representations in connection therewith.
Forthcoming changes to the nation's healthcare system under the Patient Protection and Affordable Care Act of 2010 are anticipated to increase the number of insured Americans over the next five years; in turn, hospital demand is projected to rise and help support demand for IV solutions. For this reason, industry research firm IBISWorld has updated a report on the Intravenous (IV) Solution Manufacturing industry in its growing industry report collection.
New York, NY (PRWEB) August 22, 2014
Whether for delivering anesthesia or nutrients, the Intravenous (IV) Solution Manufacturing industry provides hospitals with an array of IV solutions. As a growing industry, IV manufacturing performed well through the recession and continued to grow in the early years of recovery. The often-necessary nature of medical treatments helps protect the industry against economy-wide slumps. Further, in the event of a nationwide outbreak, the industry experiences a large boost in demand. In 2013, shortages of saline solution caused operators to stretch operations to capacity. A harsher than expected flu season resulted in incredible demand for industry products, boosting revenue in 2014. Given this latest surge in saline demand and the overall steady growth of hospital demand, IBISWorld expects industry revenue to increase at an annualized rate over the five years to 2014.
The industry is estimated to be highly concentrated, with most of industry revenue belonging to the three leading companies: Baxter, Hospira and B. Braun. According to IBISWorld Industry Analyst Edward Rivera, Acquisition and merging activities among these top players has increased vertical integration and helped safeguard the industry's profit against rising purchase costs in the form of plastic prices. As these companies grow larger and take over more parts of their supply chain, their per-unit costs of production decreases. In turn, these cost savings can be passed onto the consumer in the form of lower prices. The price control exerted by the industry's leaders has restricted the entrance of new operators into the industry.
Looking ahead, there are several favorable conditions expected to benefit IV solutions manufacturers. Most importantly, changes to the nation's healthcare system under the Patient Protection and Affordable Care Act of 2010 are anticipated to increase the number of insured Americans over the next five years, says Rivera. In turn, hospital demand is projected to rise and help support demand for IV solutions. Additionally, current shortages are likely to result in increased capacity in the future to avoid similar issues. Through the five years to 2019, IBISWorld forecasts revenue to increase at an average annual rate.
For more information, visit IBISWorlds Intravenous (IV) Solution Manufacturing in the US industry report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189
IBISWorld industry Report Key Topics
Companies in this industry primarily engage in manufacturing substances that may be infused directly into a vein using a venous access device. Intravenous (IV) solutions may be used to correct electrolyte imbalances, to deliver medications, for blood transfusion or as fluid replacement. Solutions specifically for animals are excluded from this industry.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nations most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.
For the original version on PRWeb visit: http://www.prweb.com/releases/2014/08/prweb12112500.htm
Information contained on this page is provided by an independent third-party content provider. WorldNow and this Station make no warranties or representations in connection therewith. If you have any questions or comments about this page please contact firstname.lastname@example.org.