to balance “upstream” work to keep people healthy through adequate services in the social sphere, with “downstream” work of medical care for people after they have become ill.
There is a lot of talk in the healthcare world lately about “value-based care.” This means that instead of being paid for each individual test, procedure, or office visit, health care providers are increasingly being reimbursed based on how well they improve patient outcomes. In other words, providers are being paid to keep people healthy, rather t... See more
In the value-based scenario, scale is not nearly as important as in fee for service. While it still helps in some ways (e.g. for investing in tech platforms), it’s no longer the primary basis of competition. So in shifting to a value-based arrangement, much of the incumbents’ advantage is reduced.