Healthcare in China: Ripe for innovation?

I’ve just returned from 11 days of traveling through Hong Kong and China, as part of a personal quest to try to understand China’s role on the global stage in various industries.  One thing that I was told repeatedly during my time there is that one of the biggest problems facing China today is the healthcare system.

There were a variety of issues that were raised but chief among them were overcrowding of hospitals and overprescription of drugs.  Thus, it seems to me that China needs more options and more information, which is exactly what hospital marketers can provide.

Regarding overcrowding: one of the basic issues of healthcare in China is that there is essentially no choice.  Healthcare is provided by the State.  There isn’t a concept of a personal physician; rather you go to the hospital and you get whomever you are assigned to that day.  In addition, healthcare is heavily subsidized and therefore, it is quite cheap.  But, as always, you get what you pay for.

Bringing private (and specialized) hospitals into the mix would be disruptive in a good way, providing better service at a price that people are still willing to pay.  It will fall on the marketers to help the public make an informed decision about when to choose which hospital, and to clarify what the experience will be like.

Regarding overprescription: the issue, as it was presented to me, is that doctors generally receive kickbacks for each medication prescribed.  Therefore, doctors have the incentive to prescribe as much medication as possible.  It is the marketers’ role to help the public understand what medications do and don’t do, and to help people make good choices.

China is in need of healthcare reform, and as this begins, you can be sure that MedTouch will be there to assist hospitals in making good decisions on how to invest their precious dollars!

 

Image Courtesy of “psit” on Flicker

About Jonathan Liu

Jonathan brings a fascinating variety of experience to MedTouch, from working in the laboratories of St. Francis Hospital to teaching linear algebra at Harvard. His diverse background enables him to understand and effectively respond to multi-faceted challenges. As our operations chief, one of Jonathan's most important responsibilities is to ensure your project runs on time and without undesirable surprises. He is only satisfied when you are satisfied. Jonathan graduated magna cum laude in Biomedical Engineering from Harvard College and earned a Masters of Business Administration from Northeastern University. He is one of many in-house geniuses at MedTouch, though he would never admit it. Jonathan was born in the same small city in upstate New York on the same day (a few years later) as our beloved leader, Paul. When daydreaming at his desk, Jonathan secretly entertains the idea of entering eating competitions. His first childhood memory: at the Museum of National History in New York City, he enthusiastically exclaimed, “Dessert!” upon entering the desert section of the museum. Ever the bright star, his parents did not even know he could read at the time!

One Response to “Healthcare in China: Ripe for innovation?”

  1. John Lynn says:

    Thanks for sharing some insight into China. I’m really interested in learning more about healthcare in China. Particularly when it comes to healthcare IT and EMR in China. I haven’t seen much written about it.

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