Premium Essay

Competition in Healthcare

In: Other Topics

Submitted By Ginagreen1
Words 1662
Pages 7
Gloves On: The Presence of Competition in the Healthcare Industry
Gina Ruggiero
HCA 421
Instructor Celya Tilley
August 23, 2013

The driving force of any business is that of competition; the healthcare industry is no different. The presence of competition provides a need to grow and continually offer quality services or products; however, the competition in the healthcare industry can be a very daunting at times. The cost of medical care is rising and patients are expecting a certain level of high-quality care due to the vast amount of information available to them. Patients are now armed with knowledge; they are true consumers who look for the best quality care for the very best price. This paper will discuss the different forms of competition that takes place in health care, evaluate the benefits and pitfalls of competition while suggesting alternatives given competition were not the prime driver of operations in the healthcare industry, explain the essence of successful competition and the use of competitive intelligence and describe the influence competition has on the services offered by health care organizations and the choices patients have. Competition drives businesses to work at their full potential and forces them to constantly evaluate their business strategy and make changes when necessary. Competition also has the ability to force health care organizations to compete for business by lowering their costs of services provided; this competition takes place among hospitals, physicians and health plans. “Physicians may compete for patients who are able to pay for services and do not have health insurance, or for patients who have their expenditures paid for by third-party insurers. Physicians also compete on a non-price basis for location, colleagues’ referrals, and reputation (Rivers & Glover, 2008, pp.633).” It is...

Similar Documents

Premium Essay

Competition in Healthcare

...Accreditation, quality of healthcare, and organizational compliance Darnell James HCA 410 Professor Storlie September 13, 2010 Accreditation, Quality of Healthcare, and Organizational compliance During his campaign, President Obama argued for health care reform by saying that health care is a right. In the outcome of healthcare reform, Americans ask the question; how can we pay for healthcare reform? This is a continuous debate on the Senate floor, and American politicians have many differences and if not solved it will continue to hinder the progress of healthcare reform. Both republicans and democrats are at debate over quality of healthcare. Many think American government is trying to take over. Health care is an incredibly intense industry. Every patient contact, care experience, and outcome must be documented in an accurate way. Accrediting bodies such as Joint Commission on Accreditation of Healthcare Organizations review documentation to assess compliance with standards of care for a quality assurance. If a hospital is not accredited by Joint Commission Accreditation Healthcare organization it cannot receive healthcare which means healthcare record keeping is crucial. Patient record keeping is complex and complicated....

Words: 995 - Pages: 4

Premium Essay

Porter 5 Forces on Healthcare Industry

...Threat of New Entrance It is not easy to enter into the private healthcare industry in Malaysia as the industry is highly regulated by the Private Healthcare Facilities and Services Act 1998 (Nik Rosnah, 2011).  According to Datuk Dr Lee Yan San, private healthcare providers have to face complicated legal issues and have to answer various government agencies such as labour department, statistic department, pharmaceutical department and physics department before a license is granted (TheStar, 2013). Besides, the huge initial capital cost in building a...

Words: 1087 - Pages: 5

Premium Essay

Shopping

...Easy admission to the larger Salem city and its institutions of healthcare fetches the risk of prospective consumer’s loss to Scarlett Hospital. CEO and the president of Scarlett Hospital, Timothy Rogers is endowed with the decision making of discovering finest strategy for the Scarlett hospital to continue being competitive with the bigger facilities in Salem. Timothy Rogers believes his beliefs to convey the utmost medical care quality will carry on helping Scarlett Hospital contend in the additional competitive surroundings. For 14 years Timothy Rogers has been working with Scarlett Hospital proceeding to the merger amid two contending hospitals. With having earlier experience countenancing challenges from additional institutions of healthcare, I believe Scarlett Hospital and Mr. Rogers are prepared to contend with the additional effortlessly accessible Salem institutions. Complacency Complacency relates to self-satisfaction particularly when escorted by ignorance of real danger or deficiencies; it can be a case of typically uninformed or unaware self-satisfaction. When tackling with complacency, the pitch habitually place by irritated managers can tag workers as lazy or don’t care. Complacency doesn’t breed merely from getting respite when things turn out well. A lot of leaders typical retort to waning performance by turning up the heat. (Prater, 2013) These impulsive actions of leadership might in point of fact have an effect on complacency....

Words: 1584 - Pages: 7

Premium Essay

Demand and Supply of Halthcare

...It’s important to separate healthcare and the actual health. If there is the connection between these two entities there can be the demand of an individual for healthcare connected with a demand for health. If the connection is not that strong, it’s more of a demonstration of an individual of his interest in getting healthy either by demanding a particular healthcare that he assumes will lead to his healing or if his condition is accepted as...

Words: 968 - Pages: 4

Premium Essay

World Is Flat

...These new technologies allow major hospitals like the Cleveland Clinic to increase their capacity for competition in foreign countries. Having said that, the flattening of the industry also increases competition from foreign countries against major hospitals here at home. The flattening of the healthcare industry due to technological advancements hospitals here in the US will begin facing an increased amount of competition as other countries around the world invest more resources into becoming...

Words: 421 - Pages: 2

Premium Essay

Strategic Management

...This executive summary will offer an environmental proposal that is comprised of the healthcare...

Words: 6584 - Pages: 27

Premium Essay

Eco550

...Easier access to the larger city of Salem and its healthcare institutions brings the threat of potential loss of consumers to Scarlett Hospital. Timothy Rogers, the president and CEO of Scarlett Hospital, us trusted with the decision of what is the best strategy for the hospital to remain competitive with the larger facilities in Salem. Mr. Rogers’ feels his philosophy to deliver the highest quality of medical care possible will continue to help Scarlett Hospital compete in the more competitive environment. Mr. Rogers has been with Scarlett Hospital for 14 years prior to the merger between two competing hospitals. With having previous experience facing challenges from other healthcare institutions, I feel Mr. Rogers and Scarlett Hospital are prepared to compete with the more easily accessible institutions of Salem. Complacency Complacency is the self-satisfaction especially when accompanied by unawareness of actual danger or deficiencies; it can be an instance of usually unaware or uninformed self-satisfaction. (www.merriam-webster.dictionary.com) When dealing with complacency, the tone often set by frustrated managers can label workers as don’t care or lazy. Complacency doesn’t grow only from getting lulled when things go well. (Prater, 2013) Many leaders typical response to faltering performance is to turn up the heat. These reflexive leadership actions may actually...

Words: 1441 - Pages: 6

Premium Essay

Healthcare Marketing

...Marketing Strategy for Today's Healthcare Brock Ewings HCS/539 January 24, 2012 Debra Schrager Marketing Strategy for Today's Healthcare The healthcare industry has grown to become a headline frontrunner in America. With intense political attention and worsening economy, competition in healthcare has grown to an ultimate high. Healthcare providing organizations, large and small, are stepping up marketing campaigns immensely to gain public recognition and utilization of services. Competition in marketing is no longer for car dealerships that draw consumers in for a test drive, but healthcare organizations such as hospitals, clinics, and specialty centers are starving for attention and preying on the ailing Americans. America’s health and wellness is declining and it is clear to see with child obesity and an aging population causing media stir daily. The need for hospital care has never been greater. So how are organizations competing for their own slice of the illness pie? Through increased marketing strategies inclusive to radio, television, billboards, and the World Wide Web, organizations are luring the public in to fill their beds. There are many questions to be answered on the subject. What are current marketing techniques? Are these techniques affecting consumer trends? Finally, how is this affecting the healthcare worker?...

Words: 1182 - Pages: 5

Premium Essay

Student

...Assignment 2: Outsourcing Federal Healthcare Many of the services and tasks performed and provided by the federal government of the United States are outsourced to private businesses. Like anything performed by any business, organization or government body, there are potential improvements that could be implemented. Here, I will discuss the stakeholders involved in the federal healthcare systems of Medicare and Medicaid, and how the strategies might be improved within outsourcing practices. Multiple groups hold interest in the strategies used by Medicare and Medicaid to provide healthcare to patients. Medicare contracts with private health insurance companies to provide specific benefits to people with Medicare. People eligible for Medicare include those over 65 years old, or those who are disabled. Medicaid is operated at the state government level, and generally covers disabled, and people over 65 years old with low income and minimal assets. In addition to the people covered under these systems, additional stakeholders include doctors, hospitals, insurance brokers and agents, and public policy-makers (legislators). An easily forgotten group of stakeholders within these systems are taxpayers not currently receiving direct benefits from these systems, but who are directly contributing funds which are used to fund Medicare and Medicaid expenditures....

Words: 1408 - Pages: 6

Premium Essay

Strategic Bpo in the Us Healthcare Industry

...Value Chain Competition The healthcare benefit administration value chain is unlike any other. While the manufacturing value chain is easy to decipher and understand, this one is as arcane to do so. The complexity coupled with the dynamism has given rise to multiple organizations...

Words: 1843 - Pages: 8

Premium Essay

Capitalism

...The key component of capitalism runs off competition, all markets are open with little or no government directive. This form of government has a tremendous effect on healthcare in that Capitalism is based on demand and supply and when dealing with healthcare the demand and supply are disconnected. Capitalism is defined as a free enterprise system. It is essentially a competition between markets as well as unregulated supply and demand. Each individual is permitted to sell whatever product at whatever price as long as the market can sustain it. Decisions about products are made solely on the need or demand. If there is no demand then there will be no profit, if the demand is high then there will be a profit; however, if the demand is too high, there will not be enough suppliers. Nearly every nation has a different economy which means capitalism will operate differently. The future for healthcare holds many negative and positive factors. It will be positive in that Capitalism will encourage health care providers to be efficient by concentrating on the things which are on demand rather than those that are not. Capitalism will also allow the health care industry to grow exponentially because the health care organizations will continue to make money and subsequently invest that money into production. This is because the government has very little involvement in determining the pricing of health care in a capitalist environment....

Words: 459 - Pages: 2

Premium Essay

Medical Tourism Industry - Advantage India by C.B. Venkata Krishna Prasad

...Broadly defined as a collaboration of medical services with the tourism industry, healthcare tourism offers cost effective medical services for individuals who cannot afford these services in their country due to high costs or to people who are tired by long waiting times. Also patients from countries, where treatment is not available, can avail the benefits of healthcare tourism. Countries that are actively promoting healthcare tourism include Belgium, Singapore, Malaysia, India, Thailand, Cuba, Costa Rica, Hungary, and Poland. Greece and South Africa are also emerging as new destinations. India is the latest entrant in the field of health tourism. The WTO identified four modes that will help boost trade in health care services worldwide. Medical travel is the most visible face of the increasing global trade in health care services. The other three modes are Cross border delivery of trade The...

Words: 2679 - Pages: 11

Premium Essay

College Papers

...Running Head: MARKETING AND THE HEALTHCARE SYSTEM Marketing and the Healthcare System Rondelle T. Petersen HSA 315 May 6, 2013 Prof. Donna Pearson Piedmont Atlanta Hospital – a 488-bed, private, not-for-profit hospital – is a leader in patient care that’s helped the Atlanta community gets better and stays well for more than a century. Named the top acute-care community hospital in metro Atlanta in U.S. News and World Report’s Best Hospitals list, Piedmont Atlanta consistently ranks in the top five among metro Atlanta hospitals in patient satisfaction scores. Piedmont Atlanta combines a personalized approach with innovative technologies to deliver treatments that set a new standard for excellence in care, including a state-of-the-art cancer center that offers complete therapy, disease management, prevention and wellness. In addition, our team is active in the research and development of advanced treatments and procedures aimed at delivering better patient outcomes. As the health care needs of the population grow, so do the opportunities for health care organizations and providers to meet these needs. Competition is growing, however, requiring health care providers to become increasingly savvy about marketing strategies. They need to effectively target potential clients with messages designed to increase awareness of their services. “The decision makers in health care are not always immediately apparent....

Words: 1230 - Pages: 5

Premium Essay

Enhancing the Marketing Plan

...Enhancing the Marketing Plan The company’s competitors, and the strengths and weaknesses of each (SWOT) Competition in health care industry gains the clients since it assist maintain costs, enhance quality, and promote innovation. However, how to contain an organization in the fast growing industry is a complex task to the partners and members in the field. HealthCare Express for instance, find, it hard to keep track of operations, especially in this industry where changes in products needs legal approval; thus competition is very stiff because products and services are almost presented in the same way. The main competitor for HealthCare Express is Patient First, Inc. This organization, just like Healthcare Express has deepened its roots to offer services such as providing urgent care, daytime, evenings, weekends, holidays, after doctor’s office hour’s convenient and affordable medical services for clients varying from newborns to geriatrics, and respiratory therapy services. These specialized fields act as the backbone of the Patient First, Inc. where its strengths lie, as compared to other organizations. Since the Healthcare Express also has, some of this specialized in house services, Patient First, Inc. gives it tough competition, and clients have to choose between these two competitors when deciding on most of the services and products (Stewart & Hirsch, 2011).....

Words: 1702 - Pages: 7

Premium Essay

Case Study

...The Newton-Wellesley Hospital (NWH) is a medical center that provides the services and expertise of a major medical facility with the convenience and personal attention of a community hospital. NWH is committed to delivering high-quality safe and efficient medical care to each and every patient. As Vice President for Physician Services, it is my position to display leadership within the NWH family. To work closely with the Chief Operating Officer (COO) and other members of NWH’s team to ensure hospital-related practices. This position serves for an excellent leadership opportunity and to help CEO, Dr. Jellinek to develop a plan of actions that are of priority for Newton-Wellesley Hospital for the next six months. My position is to identify the major issues and to execute a plan of action to solve these issues. Six Month Plan of Action Priority Issue: Shifting workforce demographics Both the influx of women and the new generation of young physicians’ shifts have a significant implication for recruitment and retention because of assumptions regarding the younger generations and women’s attitudes towards work and patient care (Jovic, Wallce, & Lemaire, 2006). This poses a problem because many of the younger physicians have a desire for more flexible schedules, a preference for the latest technology, and generation X and women are more concerned about work-life balance and quality of life rather than the older generation of physicians. The profession of......

Words: 1171 - Pages: 5