Vatech said Wednesday that it has established a subsidiary in the Dubai Airport Free Zone (DAFZA) with the goal of becoming the top dental imaging company in the Middle East.
Vatech officially launched Vatech Middle East (VME), a wholly owned subsidiary, on Wednesday after completing all preparations last year. VME plans to strengthen sale force in four major Middle Eastern countries – Saudi Arabia, Lebanon, Iran, and Egypt – as well as other regions while establishing a strong brand trust through customer-oriented marketing in the Middle East.
The company has named Kim Sung-joon, who worked at the company for 10 years and handled sales in the U.S. and Europe, as the CEO of the subsidiary.
The Middle East is a major emerging market with the medical device market growing more than 10 percent annually.
As demand for dental X-rays is rapidly shifting from analog to digital, the company said it plans to capture the 3D market with differentiated technology and quality, while dominating the oral market and the 2D market, which are essential equipment for dentistry.
VME will also concentrate on large hospitals with high 3D demand and radiology centers.
As the medical device market in the Middle East is dominant on government bidding, the company expects to raise market influence by establishing a local offshoot and expand business through winning such biddings.
“Vatech is steadily holding a stable sales portion of 20 percent in North America, Europe, and Asia concerning its total sales,” Vatech CEO Hyun Jeong-hoon said. “Securing the market influence in the Middle East with our subsidiary will secure long-term growth engines and build a strong sales portfolio.”
The company plans to focus on reorganizing the distribution network, strengthening its dealerships, and creating customer loyalty through real-time support so that it can become the number one dental imaging center in the Middle East, Hyun added.
Vatech has 15 overseas subsidiaries and 100 distributors worldwide, including the Middle East.
The company has established itself as a 3D device player in the European market while leading the sales growth steadily every year in North America with its 3D diagnostic equipment “Green Smart.”
In Asia, it ranked first in the Chinese 2D X-ray market as well as oral sensors for the dental market in Southeast Asia and India. The company forecasts that sales in Asia, excluding Korea, will surpass Europe and North America next year.