PEST Analysis of The Healthcare Industry
The healthcare industry depends on legislation, changes in economic rates, and technological advancements. Whenever we see shifts in the government, people become worried. They wonder: What will happen to healthcare bills? Or the services they have access to now. Will it be inaccessible shortly?
Health will always be a concern, no matter your age. People worry about exclusivity, new diseases, less treatment, and how much access they can have. This PEST analysis of the healthcare industry provides a glimpse into how the system works, and how it could change in the future.
Political Factors: Government Subsidies
The healthcare industry is impacted by many factors including, insurance mandates, tax legislation changes, and consumer protection. Government spending for healthcare can be affected by tax policy changes. It can be a benefit, allowing for increased subsidies. Or it can be a cause for concern. Governmental changes can affect the public and the healthcare services they’re entitled to, especially with changing healthcare bills and plans.
Economic Factors: Loss of Services
Healthcare organizations will be affected by many economic factors, especially inflation, unemployment, and interest rates. Any of these changes can change how the public is able to spend their money, impacting policy spending. Companies who manufacture medical devices won’t have many people able to pay their rate if the unemployment rate is increased. Likewise, if less people are able to work, they won’t qualify for work benefits, including healthcare.
For people without these benefits, it’s likely they won’t be able to pay the entire cost of any hospital or emergency room visit. They’re less likely to seek help when they become ill. The public will have a limited selected of health services they can actually afford.
Social Factors: Changes in Beliefs
Healthcare relies on understanding the changes in demographics and public values. Certain communities can share fears, beliefs, and cultural norms. If a healthcare professional or hospital isn’t aware of these conditions while they treat that public, it can cause problems. Additionally, medical professionals need to stay on their toes about new trends.
For example, the use of essential oils as a cure for various illnesses including cases of flu, fevers, and even incurable conditions like autism, are on the rise. Understanding why people are turning to these natural remedies can help healthcare professionals talk and discuss concerns or treatment with these users.
Another example is the new trend of eating detergent pods. Understanding why kids are turning to such dangerous activities can help prepare clinics if they children need assistance at their location.
People are also becoming more health conscious. Some business across the country must now post the calorie amount of each item on their menu, giving people the option to choose what to eat based on these numbers.
The public, in general, is turning towards specific health diets including paleo and keto. Or they’re making changes, like eating less f artificial sugars and processed chemicals. This is in response to the growing threat of obesity in adults and children. Hospitals and health professionals can benefit from following these shifting and progressive trends.
Technological Factors:
The healthcare industry is seeing positive changes in treatments because of technological advancements. Developments with medical devices allow patients to receive better care. For example, hearing aid devices have the tools to enhance performance, providing crystal clear sound, less background noise, and premium options for a better hearing experience.
We’re seeing changes in app developments, allowing patients to get care faster than ever before. More businesses are using apps to connect doctors with patients right in their homes. And the ability to ask questions about illnesses now include email and live-chat on websites. We’re heading towards a positive direction for patient care thanks to our ever-evolving technology.
Photo by Ken Treloar on Unsplash
