Sunday, February 9, 2014

An Important Healthcare Market Research Analysis

By Eula Nichols


Most health policies try to give more attention on how to make use of mechanisms owned by private sectors to help realize the goals of public heath institutions. Healthcare market research experts have to come up with a powerful framework that can help to study health organizations, industries and firms with ease. The actual concept is to try to analyze organizations, not only in terms of competition but also in terms of service distribution and supply.

It is important to note that most policymakers will always rely on the incentives of private institutions to realize the goals of the public sectors. This makes the analysis and understanding of market mechanism an important aspect within all the matters that surround the health care institutions and the people involved. Most of the analysis in this case, therefore, focus on inferential matters, collection methods, sampling frames and econometric estimators.

Many professionals who are dealing with this logic are currently taking their time to put more attention on empirical resources. However, two common, yet very important questions these professionals should give attention too always crop up. The questions involve identifying which matters are technical based and those that are conceptual based.

The technical questions tend to give more focus on discrete treatment and quantitative analysis. This is an area of focus, which has grown to capture the attention of many professionals. Essentially, they are the main area of focus of most day-to-day work of a health care establishment.

There are also typical analytic questions about the health markets. Usually, these questions put more effort in helping professionals to find answers about marketplace structure. However, to understand this concern in the right manner, professionals analyze firms individually and in aggregate. Here, issues revolving around cost, quality and profit becomes matters of major concerns for professional researcher.

Researches should try to explain to people who have an interest in understanding the structure of a marketplace that the market can never be exogenous. Instead, the structure of a particular market is based on the results of the decision that a firm is likely to make.As such, some incumbents could merge, go through splits and some end up bankrupt. In addition, firms may come into the marketplace and begin selling substitute goods and sole traders can take the chance to set up their own firms.

The structure of a firm dealing with the provision of health care services can be indigenous. A firm can opt to pursue chain ownership, the distribution of franchise, horizontal merger, vertical integrations and or product diversification. However, this is a decision, which can only be made in the light of strategies of the already existing competitors and potential competitors.

Healthcare market research professionals should always put more focus on the changes in ownership, boundaries and placement. There is really no need for them to put most of their attention on the structure of the organization. If they do, that would mean they are only looking at the organization just as it has been given.




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