M. D. Anderson Cancer Center - Competitors

M. D. Anderson Cancer Center Competition

Now Viewing M. D. Anderson Cancer Center's competition in: Hospitals (primary)

Recent Developments

Several Factors Cause Emergency Room Crowding - Lack of health insurance isn't the primary cause of overcrowded ERs at US hospitals, according to the University of Michigan. Contributors include increased amount of ER use by everyone, and fewer emergency departments and inpatient beds. The uninsured tend to use the ER less than any other group, and are usually sicker when they do.

Medicare Payments for Avoidable Conditions Cut or Eliminated - The Centers for Medicare and Medicaid Services (CMS) lowered or eliminated Medicare reimbursement for 11 avoidable medical conditions on October 1, 2008. The avoidable conditions had been considered complications that, until October 1, would've triggered a higher payment. The CMS is urging states to apply the same new standards to Medicaid payments; about 20 have done so already.

Slower Growth Expected for Philanthropic Giving - Growth in philanthropic giving to US healthcare organizations will slow through 2009, according to the Association for Healthcare Philanthropy (AHP). Philanthropic giving rose 5.6 percent year-over-year in fiscal year 2007, less than half the increase in 2006. AHP cited weak economic growth as a key cause of slower growth in philanthropic giving to healthcare organizations.

Competitive Landscape

Demand for hospital services is driven by demographics and advances in medical care and technology. The profitability of individual companies depends on efficient operations, since many hospitals offer similar services. Large companies have advantages in buying supplies, sharing best practices, and negotiating contracts with health insurers. Large hospitals may offer a wider variety of services. Small hospitals can compete successfully by serving a limited geographical area or offering specialized services. Hospitals are labor-intensive: annual revenue per employee is close to $100,000.

Full Industry Overview For Hospitals

Hospitals Industry Forecast

from Hoover's/D&B subsidiary First Research

US personal consumption expenditures for hospitals are forecast to grow at an annual compounded rate of 5.9 percent between 2008 and 2013.

Consumer Spending Growth on Hospital Services Flat

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.