FCCC LOGO Faculty Publications
Schau HJ , Smith MF , Schau PI
The healthcare network economy: The role of Internet information transfer and implications for pricing
Industrial Marketing Management. 2005 ;34(2 SPEC. ISS.) :147-156
Back to previous list
Over the past several decades, in an effort to increase quality and efficiency, more emphasis has been placed on preventive medicine, active participation of consumers in their healthcare, and healthcare networks that collaboratively provide medical care. This article addresses how the Internet has facilitated the development of new communication flows between networked stakeholders and the impact information transparency has on the demand for and the delivery of healthcare. Using actual patient treatment data, interviews with practitioners, and consumer interaction on Internet message boards, we discuss how increased information transfer shapes healthcare coverage and treatment options and the managerial implications for healthcare pricing along the value chain. © 2004 Elsevier Inc. All rights reserved.
00198501 (ISSN) Cited By: 0; Export Date: 25 May 2006; Source: Scopus CODEN: IMMAD; DOI: 10.1016/j.indmarman.2004.07.012 Language of Original Document: English Correspondence Address: Schau, H.J.; Fox School of Business; Temple University Philadelphia, PA 19122, United States; email: Hope.Schau@Temple.edu References: Achrol, R.S., Evolution of the marketing organization: New forms for dynamic environments (1991) Journal of Marketing, 55, pp. 77-93; Achrol, R.S., Changes in the theory of interorganizational relations in marketing: Toward a network paradigm (1997) Journal of the Academy of Marketing Science, 25 (1), pp. 56-71; Achrol, R.S., Kotler, P., Marketing in the network economy (1999) Journal of Marketing, 63, pp. 146-163; Beauregard, T.R., Linking Internet strategy to high-quality, cost-effective managed care (2000) Benefits Quarterly, 16 (2), p. 15; Bovbjerg, R.R., Githens, P.B., Sloan, F.A., (1991) Insuring Medical Malpractice, New York, NY: Oxford US; (2000) Networking Health: Prescriptions for the Internet, Computer Science and Telecommunications Board, National Research Council; Danzon, P.M., Pauly, M.V., Insurance and new technology (2001) Health Affairs, 20, pp. 86-100; Dhar, R., Consumer preference for a no choice option (2002) Journal of Consumer Research, 24 (3), pp. 215-231; Drucker, P.F., (1993) Post Capitalist Society, Oxford, UK: Butterworth Heinemann; Edem, T., Swait, J., Brand credibility, brand consideration, and choice (2004) Journal of Consumer Research, 31, pp. 191-198; Enthoven, A.C., Sustaining a market-based healthcare system (2004) Healthcare Financial Management, pp. 60-64; Foucault, M., (1973) The Birth of the Clinic: an Archeology of Medical Perception, New York, NY: Pantheon Books; Gillette, B., Take the bull by the horns (2000) Managed Healthcare, 12, pp. 22-25, December 10; Glazer, J., McGuire, T.G., Multiple payers, commonality and free riding in health care: Medicare and private payers (2002) Journal of Health Economics, 21, pp. 1049-1069; Hamilton, D.P., The price isn't right: Internet pricing has turned out to be a lot trickier than retailers expected (2001) The Wall Street Journal, pp. R8, February 12; Hay, I., (1992) Money, Medicine and Malpractice in American Society, New York, NY: Praeger Publishers; Herzlinger, R.E., (1997) Market-driven Healthcare: Who Wins, Who Loses in the Transformation of America's Largest Service Industry, New York, NY: Perseus Books, HarperCollins Publisher; Herzlinger, R.E., (2004) Consumer-driven Health Care: Implications for Providers, Payers, and Policymakers, pp. 19-31, (Ed.) Jossey-Bass San Francisco, CA; Holloway, J.D., Lawsuits could change managed care landscape (2004) Monitor on Psychology, 35 (3), p. 30; Hunt, P., Pricing to make a net profit (2001) Marketing Magazine, 106 (4), p. 29; Iyengar, S.S., Lepper, M.R., When choice is demotivating: Can one desire too much of a good thing? (2000) Journal of Personality and Social Psychology, 79 (6), pp. 995-1006; Kung, M., Monroe, K.B., Cox, J.L., Pricing on the Internet (2002) The Journal of Product and Brand Management, 11 (5), pp. 274-287; Maillet, P., Halterman, S., The consumer-driven approach: Defining and measuring success (2004) Benefits Quarterly, pp. 7-14; Maurstad, H.L., Riddergard, J., Vrolijk, C., Insuring profits (2001) McKinsey Quarterly, 2, pp. 14-15; Miller, R.A., Innovation and reputation (1988) Journal of Political Economy, 96, pp. 741-756; A survey of health-care finance (2004) The Economist, pp. 5-8, No Reverse Gear July 17th-23rd; Oberlander, J., The US health care system: On the road to nowhere? (2002) Canadian Medical Association Journal, 167 (2), pp. 164-168, July 23; Rodwin, M.A., (2000) Promoting Accountable Managed Health Care: The Potential Role for Consumer Voice, http://healthlaw.org/pubs/2000rodwin.html, (A Report for Consumer Federation of America, Families U.S.A., and the National Health Law Program) available at; Ruthardt, L., Massachusetts HMO rate analysis: Spending and utilization in 2000, 2001, 2002 (budgeted) and 2003 (projected) (2003)Massachusetts Division of Health Care Finance and Policy; Shortliffe, E.H., Networking health: Prescriptions for the Internet (2003) Committee on Enhancing the Internet for Health Applications: Technical Requirements and Implementation Strategies, Washington, DC: National Academy of Sciences Chair; Walsh, J.P., Industry works to tweak Internet pricing policies (2003) Hotel and Motel Management, p. 6, July 21; Wilson, P., Bush to be sedated for colon check Saturday (2000) Yahoo!, 28 June, 7:50 PM ET; Wizig, H., Early innovators in consumer-drive health care (2004) Consumer-driven Health Care Implications for Providers, Payers, and Policymakers, Regina Herzlinger (Ed.) Jossey-Bass San Francisco, CA.