1.How do medical device brands distribute the products(such as blood pressure monitor) from factory to end consumers? How many resellers are there until reaching the end consumer?
2.What is the gross margin at each stage of the distribution, starting from the factory to the end consumer?
Factory Production: The medical device is manufactured, tested, and packaged at a factory, which could be in the U.S. or overseas.
Regulatory Compliance: Before distribution, the product must meet the regulatory standards set by the U.S. Food and Drug Administration (FDA) and, in some cases, other regulatory bodies (e.g., UL for electrical safety).
With regards to a medical device one needs to be aware of maintenance guidelines which is important. Distribution would introduce a brand or product to resellers as well as the market. Resellers need to be familiar with handover and medical device maintenance ensuring the brand or services can be found. Every 6 and 12 months the maintenance manager is to check all devices and allocate a service ensuring the device is always performing at its best to reduce risk with regard to the patients.
There handover services are not to be without a profit margin which has the reseller made aware of responsibility.
Distributors and resellers margins need to be viewed and adjusted based on marketing the brand and services.
