Johnson & Johnson CEO Alex Gorsky spoke to CNBC about the U.S. healthcare system from the China Development Forum in Beijing.
Here are five key notes from the discussion:
1. Changes are necessary in healthcare, but there were some great aspects of the ACA Mr. Gorsky would like to see in revision plans going forward. The three key elements of the healthcare puzzle are providing quality, affordable and sustainable care.
2. The new healthcare plan must avoid allowing too many Americans to go uninsured and give people with pre-existing conditions access to health insurance, according to Mr. Gorsky.
3. President Donald Trump has criticized the pharmaceutical industry for skyrocketing drug prices, but Mr. Gorsky said the issue with healthcare pricing goes much further; pharmaceuticals represent 10 percent to 15 percent of the overall healthcare spend.
4. New advancements in the medical device and pharmaceutical industry have led to life expectancy improvement, and Mr. Gorsky feels companies should continue to have the ability to innovate.
5. One of the key challenges will be moving to episode-based care and creating partnerships between the fragmented healthcare stakeholders between providers and hospitals.