Question

As the channel of distribution in health care evolves with the increasing impact of technology, how would you assess the impact of disintermediation versus reintermediation in terms of which dynamic might have the greatest impact on the future evolution of the healthcare channel?

Answer 1

As the channel of distribution in health care evolves with the increasing impact of technology, how would you assess the impact of disintermediation versus reintermediation in terms of which dynamic might have the greatest impact on the future evolution of the healthcare channel?

Disintermediation and reintermediation are two types of dynamic structures that can change the future of any business as well as a business in health care. When looking at disintermediation and how it has an impact on the future of evolution in health care is by eliminating the middleman. This benefits health care and we can see this today how there are many primary care physicians and hospitals have all the services under one roof. This is seen as a forward integration. A large number of major tertiary and academic medical centers have established their own network with primary care physicians and specialists. The flip side to this is moving backward integration. Here it is seen as the member of the channel moves closer to the production end. In health care this is becoming very popular. This is because hospitals have hired their own physicians. Most physicians are now employed by hospitals and health systems. However, the channel for distribution for care delivery is now a direct, web-based solution. Many health care organizations will use the web to generate their money. Technology is impacting the consumer in their behaviour. Many customers are looking for second options and they are also searching for health care information online. All in all, the web has become a useful technological tool for patients to find valuable information.