Describe the possible barriers to entry and exit for: a. A physician wanting to establish a solo practice office in internal medicine Barriers to Entry: *Assuming all the costs that come with opening this type of business. Services, personnel, permits, supplies, technological equipment, etc. ) *Getting all the permits needed, and inspections. Costs of acquisition of new technology, computers, printers, etc. EMMER trainings, plus its cost. *Competitors around the same area. Barriers to exit: *Cost of laying off staff. *Contractual obligations like rent payments. B. A company offering a Health club facility in the same building where employees work Barriers to Entry: *Costs of all equipment. *Education for employees to NOT leave their Jobs unattended due to these distractions. Permits and regulatory processes. *Health liability if workers have any injury while enjoying the Health Club. Barriers to exit: *Employees dissatisfaction. *Rent or property costs. What to do with all of that equipment, sale it? Store it? C. A tertiary hospital developing a coronary bypass program Barriers to Entry: *Competitors. *All regulations, credentialing, and permits for the particular physicians (Surgeons) . Tertiary Hospitals are fully equipped. * Government Policies. * Capital spent in advertising, promotions, incentives, etc. Affiliation with insurances, to cover surgical expenses for patients. These are pretty expensive. Barriers to Exit: * Moral implications for the Hospital 5. Retie-A is a topical ointment originally developed for the treatment of severe cases of acne and related skin disorders. An observed side benefit resulting from use of this product is its beneficial effect on aging skin. If the manufacturer of this product decided to pursue the latter market, what type of a growth strategy would it be pursuing? I would say Market Development.

In our text it indicates that Market development involves initializing sales of existing products and services in new markets. In this case, the product is the Retie-A ointment. The current market is people with acne. The new market would be people with aging skin. CHAPTER 3 2. What environmental factors would you suggest account for: a. In-company clinics hat deal with employee medical problems, such as the one established by Toyota I would say a little bit of all, but the environmental factor that account for the in- company clinics that deal with employee medical problems is the Economic.

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The reason being, is that Just like Toyota, the main thing that moved them to incorporate this in their company, is that they save thousands of dollars. Healthcare costs continue to grow, so corporations are working more aggressively with their health care providers in seeking solutions to rising costs. B. The success of after -hours clinic s and urgent care facilities in many metropolitan areas? Competitive factors and Social factors. The decline of Hospitals in the metropolitan areas, the high populations and the need for a service all contribute to the success of after-hours clinics and urgent care facilities.

Another thing is that it is sometimes more convenient to go to US than a hospital. 3: Assume you were hired to design a NCO plan targeted to baby boomers in San Antonio, Texas, a city with a large Hispanic population. How would you make this service offering unique to respond to the major trends discussed within this chapter? 5: A primary care medical group has a list of patients who had once used the group n a regular basis as their primary source of care.