Question

From a hospital’s perspective, what type of patients do you want to attract and what services do you want to provide?

Answer 1

If hospitals are providing more amenities and a better experience, then estimates of inflation of health care expenses would certainly be biased upward, thus a profit motive hospital will attract patients who are financially sound or have insurance coverage. In today's scenario amenities have a greater effect on hospital volume. In crowded hospital markets, especially in cities populated by well-insured patients, such amenities play a significant role in the competition for market share.

Thus to attract the patients, apart from amenities, a hospital will be considering the hospital's technology, clinical facilities, and staff services. A hospital seeking to strengthen its financial position might view investment in amenities, investing in high-tech medical capabilities and talented physicians as a sound strategy; and may have better health and financial outcomes