Medinnovationblog, authored by Dr. Reece, has an interesting post on how Wal-Mart can teach the physicians a few lessons in business and service. All the factors important to improving health care are discussed:
- Price matters. Wal-Mart’s slogan of “We sell for less” has been a smashing success. Some physician groups have taken the clue by opening and owning their own clinics and by lowering overhead in “cash-only” practices.
- Access matters. Longer hours, no waiting and quick patient processing appeals to health consumers. Some physicians have responded with open-scheduling, see patients on the day they call.
- Transparency matters. Patients like to know in advance or at the site of care what things will cost. Some physicians, particularly in cash-only practices, are posting prices in their offices.
- Predictability matters. Consumers like to know what they are in for. Predictability is what successful corporate franchises, and other in-store clinics, like CVS and Minute Clinics, strive for.
- Location and convenience matters. Walmart got its start by placing its stores in rural and suburbs where competitors had not gone and where parking was ample and free.
I agree with Dr. Reece that these new clinics are or are going to be one of the biggest innovations in the world of health care. But one potential road block for this innovation is that “in-store clinics take two to three years to show a profit, and at least seven clinic operators – short on capital – have closed up shop.” If anyone can make this innovation work, it is probably Wal-Mart.
After subprime, the next financial crisis could be the result of credit default swaps.
Merrill to Repay Massachusetts City for CDO Purchase:
Feb. 1 (Bloomberg) — Merrill Lynch & Co. agreed to pay Springfield, Massachusetts, $13.9 million to settle a dispute over collateralized debt obligations that tumbled in value.
The money will reimburse Springfield for the cost of the CDOs, securities tied to home loans and other debts shunned by investors as losses on subprime mortgages mounted. New York-based Merrill said it agreed to the refund after discovering its brokers bought the CDOs without the city’s “express permission.”
The money will reimburse Springfield for the cost of the CDOs, securities tied to home loans and other debts shunned by investors as losses on subprime mortgages mounted. New York-based Merrill said it agreed to the refund after discovering the purchase was made without the city’s consent.
How nice of them, considering the purchase was made without the city’s consent.
The American interviews Charles Koch, the CEO of Koch Industries, the largest privately owned company in the U.S. Some facts about the size of the company: for starters, if it were a public company, Koch would rank about 16th on the Fortune 500 list, ahead of Proctor & Gamble and Boeing. And since Kock joined the company, the value of Koch Industries has risen 2,000-fold, compared with 110-fold for the average S&P 500 firm. Quite impressive. Continue reading ‘Interview With CEO of Largest Privately Owned U.S. Company’
Continuing on with my fascination of the surge in attention on hedge funds and private equity, Knowledge@Wharton published an article recently about a study that has attempted to document the impact the effect of hedge funds upon the stock of the companies in which they have invested. It’s an interesting article, but they now require you register (it’s free). Here’s a snippet of one of their conclusions: Continue reading ‘Impact of Hedge Funds on Target Companies’ Share Prices’
