Retrieved September 17, 2011, from http://www.webmd.com Thomson Reuters. (2010, March 19). US healthcare bill would provide immediate benefits [Factbox]. Retrieved September 16, 2011, from http://www.reuters.com U.S. Department of Health & Human Services. (n.d.).
$800 billion a year) appears to go towards wasteful, redundant, or even inefficient care. Such rising health care costs penalize the citizens within our nation in multiple aspects. The first set of individuals that are affected are families and seniors because it affects the amount of money that goes into their pockets, which results in a difficult time balancing food, rent, and the basic necessities for living. Next, small businesses and fortune 500 employers are affected because such increased costs cause rising health care costs to become more expensive to add new employees to their payroll and more difficult to cover retiree fees when that time comes. Finally, the federal, state, and local governments are forced to increase Medicare and Medicaid costs, which results in cutting other priority funding such as public safety and education.
“Essentials of the United States health care system” March 5, 2009 Stephen Jonas, Raymond G, Karen G, “An Introduction to the US healthcare System” 6th Edition, Page 118, 25 May 2007 U.S Healthcare costs, Web 7 Feb, 2012 http://www.kaiseredu.org/Issue-Modules/US-Health-Care-Costs/Background-Brief.aspx Ventres W. “Answers to US health care issues from other countries” Fam Med. Sep 2011 43(8):592-3. PubMed PMID: 21918943
Although there is evidence from many studies that disability rate is declining in the U.S.2, the rapid expansion of the oldest-old age group will continue to pose health care challenges for future generations. Disability prevalence rates are very high in the oldest-old3 and even reached 97% in centenarians4. These high rates of disability will have a tremendous financial impact in the future as people living with disability have much higher health care expenditures5. Because of the growing concern associated with disability in the elderly, many researchers have examined factors that may be associated with the risk disability in the elderly. These factors have ranged widely, including functional limitations6-9, level of physical activity10, 11, depression12-15, cognitive status13, 16, 17, comorbidities18, 19, falls6, 20, self-rated health21, 22, social interaction23 and others24.
Americans spend far more per person on the costs of litigation than any other country in the world. The excess of the litigation system are an important contributor to “defensive medicine” – the costly use of medical treatments by a doctor for the purpose of avoiding litigation. As multimillion-dollar jury awards have become more commonplace in recent years, these problems have reached crisis proportions. Insurance premiums for malpractice are increasing at a rapid rate, particularly in states that have not taken steps to make their legal systems function more predictably and effectively. Doctors are facing much higher costs of insurance.
The rapidly rising cost of health care in the United States has made access to medical care difficult for many citizens. Additionally, the number of uninsured is increasing because of job loss and reduction of employee benefits. This trend is projected to continue. The negative effect of reduced access to health care may have alarming effects on the economic well-being of the nation. The passage of the Patient Protection and Affordable Care Act (PPACA) marks the beginning of significant transformation in the United States’ health care systems.
Agency for Healthcare Research and Quality website. Retrieved May 31, 2011, from http://www.ahrq.gov/qual/psoact.htm. Office for Civil Rights, Health Information Privacy. (2011). Understanding Health Information Privacy.
However, there are mixed reactions in reference to this law in part of the citizens provided that the information from the media is bias. There are many speculations regarding the cost of this act; however, according to the Centers for Medicare and Medicaid Services the Affordable Care Act has saved millions of dollars this year. Mr. Donald M. Berwick, M.D., Administrator, Centers for Medicare & Medicaid Services says that, “In May alone, we have seen a seventy-six percent increase in the number of beneficiaries receiving this discount (four hundred seventy-eight thousand two hundred seventy-two individuals through the end of May compared to two hundred seventy thousand nine hundred through the end of April). In addition, the total savings these beneficiaries received grew over fifty-six percent in one month, for a total average savings of Five hundred forty-five thousand dollars per beneficiary” (June 2011, Para. 3).
One of the greatest issues facing the nation today is the number of people who do not have access to health care coverage. Americans are struggling to pay medical bills and are accumulating medical debt at an alarming rate. Approximately two-thirds of the working-age population are uninsured or underinsured and did not seek health care due to the cost. “More than two in five adults in the 19-to-64 age group reported problems paying medical bills” (Quality of Care, 2010). Their difficulties include not being able to afford medical attention when needed, running up medical debts, dealing with collection agencies about unpaid bills, or having to change their lifestyle to repay medical debts.
The next force, ecological, somewhat affects the industry. Events like natural disasters, plagues, and other mass causalities can greatly affect the pharmaceutic... ... middle of paper ... ...rofitable; however, in the last year Pfizer has continued to grow at a rate far surpassing their competition. The last section of the external environment analysis is a reflection of industry opportunities and threats. The opportunities for Novartis in the pharmaceutical industry include things such providing more services for the poor and third world countries, using core business capabilities and resources the create long-term growth, adapting to changes in diseases and health care issues, and utilizing technology innovations to drastically improve core aspects of the business. The threats to Novartis within the industry include competition from rivaling companies, changing laws and requirements, rapid changes in technology, increasing competition over low priced generics, and shifts in tastes to lower cost alternatives.