Hospitals Industry Overview

Excerpt from Hospitals Report

Companies in this industry provide medical, diagnostic, and treatment services to people on an inpatient and an outpatient basis at specialized medical, surgery, emergency, and other health care facilities. Major companies include HCA (Hospital Corporation of America) and Tenet Healthcare (both based in the US), Ramsay Health Care (UK), Apollo Hospitals (India), and Générale de Santé (France).

Competitive Landscape

Demand for hospital services is driven by demographics, illness and injury rates, and advances in medical care and technology. The profitability of individual companies depends on efficient operations, since many hospitals offer similar services, and customer perception, since in many cities hospitals compete for patients.

Products, Operations & Technology

Major services include in-patient hospital care (about 60 percent of industry revenue) and outpatient services that typically don't require an overnight stay (40 percent). Other sources of revenue include prescription drug sales, ambulatory surgeries, and contributions from private donors, nonprofit foundations, and the federal government.