Growth in the health care industry has been experienced over the past ten to twenty years. Prior to the Social Security Act of 1965, the term innovation or entrepreneur was not used much in healthcare. Since the introduction of the government 3rd payer system, innovation and entrepreneurship has taken off. So, what is entrepreneurship in health care? This essay is going to look at the effects entrepreneurship has on health care and attempt to describe the positive and negative ways it has influenced health care today.
What is an Entrepreneur?Debated for many years, this vital question to the study of entrepreneurship continues to be criticized and analyzed by some of the worlds leading researchers. "The origin of the word entrepreneurship is derived from the French word entreprende, which means to undertake, as in undertaking a particular activity" (Davison, 2008, p. 1). According to Davison, "the entrepreneur is a creator of value.
In health care, this definition would mean that an entrepreneur in a person who creates value in the health care industry.
Affect of Entrepreneurship in Health CareAmerican health care is the leader in the nation for seriously ill patients. The United States has had more Nobel Prize winners for medicine than any other country because of the commitment to innovation in health care. Citizens of American can be thankful for the innovative ideals that entrepreneurs have brought to our markets. People used to just shop for better prices on such items as airfares, lower hotel rates and even computers. Now, shopping for healthcare is a part of living in the United States. Websites such as "WebMD, Revolution Health, and eHealthInsurance, now offer consumers up-to-the-minute information on medial conditions, drugs, and insurance options, as well as basic quality information on doctors and hospitals" (Howard, 2008). With all this information available,