The original health care system cannot meet the demands of the wealthy market. This is an opportunity for investment, especially as the government is now encouraging and promoting the development of high-end health care” – Ministry of Health Medical Services Regulatory Secretary Chen John Jiu, July 2012
China is home to the 4th largest number of millionaires in the world and Beijing is home to the greatest number of wealthy people in China, including 179,000 millionaires and 10,500 people considered super-rich. Those with higher incomes, thanks to a rich diet, urban living, and less reliance on manual labor or exercise, often suffer from a higher incidence of chronic illnesses such as cancer, heart disease, liver disease, respiratory illness, diabetes and stress. These people are increasingly concerned about their health and finding access to health care services that meets their needs.
INVESTMENT & IMPROVEMENTS IN HEALTH CARE
On June 3 2012 Research Institute Fortune issued a white paper titled “China Wealth Health” stating that although wealthy Chinese are paying more attention to their health about 68% of them are suffering from sub-health conditions. The paper concludes that there are over 30 million individuals of high net worth and emerging wealth in need of improved medical services.
Director of the Chinese Doctor Association, Yin Dakui says, “Most people want to be able to enjoy better medical services. Chinese and foreign capital investors are coming together to meet the needs of the population with a higher standard of medical care.”
To help meet this demand, in November 2012 the international company WA Optimum Health Care established their new specialty health care facility in Beijings Fragrant Mountain National Park. Their Chairman, Dr Shu Li, Harvard PhD comments “The location, architecture, quality of medical care and standard of service were all designed with the needs of patients in mind. Privacy, discretion and excellent follow-up care are crucial. Of course the most important factor is the level of personal medical attention given to each patient, which is why we have invested in bringing the best doctors from within China and around the world here.”
With a flagship center already operating in Shanghai for over 2 years, the international management and medical teams of WA Optimum Health Care are very familiar with the realities of meeting the demands of the market as well as navigating the regulations and licensing issues that have historically challenged other international health care providers that have tried to enter Chinese market. WA Optimum Health Care Vice Chairman Derek Muhs said, “With the implementation of recent health care reforms in China, we are pleased to be one of the first foreign companies providing a gold standard of health care services in this market. The growth opportunities over the next 5 years in the health care sector in China are very exciting.”
The WA Center in Beijing is a multi-discipline medical center of excellence specializing in the treatment and prevention of serious chronic conditions such as infertility, diabetes, liver disease, joint degeneration, chronic pain and sexual dysfunction, among others. There is also an advanced cosmetic medicine department that offers rejuvenation and cosmetic improvements performed by leading cosmetic surgeons from Switzerland, USA, South Korea and China.
At the WA Beijing private opening event Mr Wang, President of the “China Industry-University-Research Institute Collaboration Association” presented WA with a plaque endorsing them as a “China Clinical Research Center for Functional Anti-Aging Regenerative Medicine”.
Countless Chinese people go abroad annually for health care services, especially for anti-aging and cosmetic treatments, cancer screening, to give birth and to get treatment for chronic diseases. But with the governments health reform and support for private health care facilities, more and more Chinese are opting to stay home, where they can now have an international standard of health care in their own language and essential follow-up maintenance program with their personal doctor.
According to a September 2012 report by McKinsey & Company, Chinas health care spending is projected to grow from $357 billion in 2011 to $1 trillion in 2020. China remains one of the worlds most attractive markets, and is by far the fastest growing of all the large emerging markets.
Mr Muhs, quoted earlier, disclosed “We are looking closely at some exciting new opportunities for expansion and acquisition in the health care sector in China. With our 3-5 year IPO on the horizon this will be a very strategic expansion so as not to compromise the medical service that the market is demanding, and that we envision is the future of a new standard of health care in China.”