Providing Value to New Health Technology: The Early Contribution of Entrepreneurs, Investors, and Regulatory Agencies

Document Type: Original Article

Authors

1 Department of Health Management, Evaluation and Policy, School of Public Health, University of Montreal, Montréal, QC, Canada

2 Institute of Public Health Research of University of Montreal (IRSPUM), Montréal, QC, Canada

3 University of Montreal Chair on Responsible Innovation in Health Montreal, Montréal, QC, Canada

4 Institute of Health Policy, Management and Evaluation, University of Toronto, Toronto, ON, Canada

5 École Nationale d’administration publique (ENAP), Quebec City, QC, Canada

6 Department of Management, Faculty of Social Science & Public Policy, King’s College, London, UK

Abstract

Background
New technologies constitute an important cost-driver in healthcare, but the dynamics that lead to their emergence remains poorly understood from a health policy standpoint. The goal of this paper is to clarify how entrepreneurs, investors, and regulatory agencies influence the value of emerging health technologies.
 
Methods
Our 5-year qualitative research program examined the processes through which new health technologies were envisioned, financed, developed and commercialized by entrepreneurial clinical teams operating in Quebec’s (Canada) publicly funded healthcare system.
 
Results
Entrepreneurs have a direct influence over a new technology’s value proposition, but investors actively transform this value. Investors support a technology that can find a market, no matter its intrinsic value for clinical practice or healthcare systems. Regulatory agencies reinforce the “double” value of a new technology —as a health intervention and as an economic commodity— and provide economic worth to the venture that is bringing the technology to market.
 
Conclusion
Policy-oriented initiatives such as early health technology assessment (HTA) and coverage with evidence may provide technology developers with useful input regarding the decisions they make at an early stage. But to foster technologies that bring more value to healthcare systems, policy-makers must actively support the consideration of health policy issues in innovation policy.

Highlights

Commentaries Published on this Paper

  • The Bright Elusive Butterfly of Value in Health Technology Development; Comment on “Providing Value to New Health Technology: The Early Contribution of Entrepreneurs, Investors, and Regulatory Agencies”

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  • New Health Technologies: A UK Perspective; Comment on “Providing Value to New Health Technology: The Early Contribution of Entrepreneurs, Investors, and Regulatory Agencies”

          Abstract | PDF

  • The Conceptualization of Value in the Value Proposition of New Health Technologies; Comment on “Providing Value to New Health Technology: The Early Contribution of Entrepreneurs, Investors, and Regulatory Agencies”

          Abstract | PDF

 

Authors' Response to the Commentaries

  • Why Learning How to Chase Butterflies Matters: A Response to Recent Commentaries

          Abstract | PDF

Keywords

Main Subjects


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