Healthcare is a field not only of opportunity, but it is in need as well. No one can deny the crucial role healthcare plays in our day to day life. With the technological advancements and environmental pollutions, man is being subjected to more diseases and illnesses than before. The demand and need for healthcare has created a special market which expanded in a vast way. Such expansion includes independent entities such as urgent care, pharmacy, primary care, physical therapy, skilled nursing facility, and the list goes on. Healthcare markets contribute to care, and its market functions is a unique way.
“It comes down to this: there’s only so far a patient will travel to receive health care. And most people wont drive very far. This means that health care trending partners are organized within a travel distance of a group of patients that is smaller in urban and larger in rural ones”. (Gee, 2016). Therefore, the healthcare market is one which is organized, and it delivers its services and treatments as a community. Physicians connect with other trading partners and work within a network which is beneficial to one another. For instance, a pediatrician would refer a patient to a pediatric gynecologist who is within their network area as oppose to one which is in a different state. Additionally, “Health care is a B2C market. In most B2C markets, the person who selects and buys a product or service is the same person who uses and pays for the product-not in most health care markets”. (Gee, 2016). Multiple consumers are involved in this process such as the payor, healthcare provider and patient. All are in demand to complete a health care transaction which includes buy, use and pay. Moreover, healthcare delivery has its regulations, not to mention those which are set for drugs by the Food and Drug Administration. “Specific kinds of tests, treatments and care are effectively regulated by the Centers for Medicare and Medicaid Services (CMS) and private payors as a consequence reimbursement policy”. (Gee, 2016).
The healthcare market is a wide range of independent entities which all work hand in hand to help maintain the healthcare business moving forward. It requires trust, referrals, a decent reputation and being up-to-date t help contribute the needed care.
Gee, T. (2016). 4 Ways Health Care is Different from Other Industries-Health Works Collective. Retrieved January 28, 2018 from https://www.healthworkscollective.com/4-ways-health-care-different/