The Dominance of Global Medical Tourism

Healthcare is among the largest industries, and, until lately, it has underperformed behind so many others in its acquisition of outsourcing. Even as the industry grows increasingly profitable, healthcare facilities need to learn how to deliver quality patient care. Patients have several facilities and hospital networks to select from in specific geographic regions. The competitive environment is evolving in the healthcare sector. People who can afford from developing nations have flown to developing nations for a long time to seek excellent standard medical services.

Now, an overwhelming amount of less responsiveness to customers from developed countries travel to countries once identified as the "third" world. These patients are focusing on high-value health treatment at reasonable prices. In 2006, medical tourism grossed around $60 billion worldwide. McKinsey & Company predicted that this amount would grow to $100 billion by 2012, and studies show it did. Patients that are not acquainted with new hospitals or centers worldwide can manage their care and medical travel intermediary. Such companies operate as specialist travel agencies.

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Treatment rates are cheaper in overseas institutions for a variety of factors. The labor rate is smaller, End-users (insurance and government) are much less engaged or even not implicated in the pricing of packages. Price transparency is reasonable, and there are many far fewer efforts to transfer the charitable care expenses to offering to pay patients. Medical care is an absolute condition independently of the financial or insurance status of an individual. Patients travel to other developing nations to receive healthcare as a means of reducing American insurance expenses at an amount at $10,000 per individual each year relative to Switzerland's second-highest medical costs of just $6,000 per year (Hill & Hult, 2020).

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In the context of medical tourism, residents of economically industrialized nations skip facilities provided in their populations to migrate to less affluent regions of the world for medical treatment. Medical tourism is inherently different from a usual system of economic, medical travel, in which usually patients travel from less industrialized economies to the best and prominent medical centers in developed nations for medical care that are not accessible in their communities.

While there are no corroborative figures on the extent of medical tourism, the current research shows that many people travel to emerging countries for healthcare purposes. In 2004, 1.2 million patients traveled to India for healthcare purposes, and 1.1 million medical patients went to Thailand (The Economics Time, 2005). The 40% savings is just the number two countries in health care expenses, which ensures that in certain situations, a patient could save more than 75% to 90% on individual insurance if an individual is outside of the United States.In evaluating people trying to conserve resources, healthcare facilities are short-staffed in medical units like the radiology department to the mark that has forced them to subcontract their services to other nations over the modern technology- the internet. A few different examples of hospitals utilizing radiologists in India to interpret photos simultaneously due to time zone variations, causing patients to get readings the next day instead of preparing for readings through regular working hours in short-staffed American radiology divisions.

The main reasons that t hospitals in developing countries are eligible to continue providing medical care cost-effectively are effectively associated with the economic standing of the country. As such, the prices paid for preventive care in the state of destination usually equate to the gross domestic product per capita of that community, which is a substitute for wealth distribution. On the other side, there is a rise in medical tourists in the United States from many less highly advanced countries. China is a prime example of a growing middle-class population seeking treatment in the world-class facilities of the United States. As a result, the University of California San Francisco Medical Center has shown a significant rise of 25 percent in its Chinese patient group in the last few years (Hill & Hult, 2018). Outsourcing has undertaken by American health care that are providers a good thing or a bad thing for the whole American economy? Outsourcing will save costs to businesses and strengthen their capacities. I firmly believe this kind of outsourcing of American health care companies says a definite idea as it gives more revenues to our own country -the USA. If we're contending with problems from other nations, we always make huge profits from it. If we can help with the issue and get compensated for it, then why not? Outsourcing is now a reasonable view in the medical field because, in any business organization, the smaller the prices, the higher the company income.

Outsourcing vendors are committed to providing the Non-core services that can be provided to the medical facility to focus on the business of assisting patients (Sanders, 2004). Typically there is a very compelling argument that needs to be implemented for outsourcing. Then again, with the central responsibility of the healthcare professionals is to manage and recognize patients. By outsourcing non-core activities, services can relate to affective costs and improving staffing levels and clinical care. But outsourcing comes at prices, especially as healthcare businesses gradually find subcontracting some of their business sectors, it is vital to consider the obligations so that they can decide how the gains exceed the negative factors. Even in the absence of an established program in the United States, many Americans, and the excessive accessibility of affordable medical treatment in convenient nations, the market for medical tourism is likely to expand. More people would fly to receive medical services that they would previously not have been able to manage, and the rise of this industry of medical tourism would play a vital role in this. Radiology is gradually being evaluated for outsourcing both for its particular organizational and financial difficulties and because of the concern shown by radiologists that outside suppliers.

The complexity of adapting to continuous technical changes, labor shortages, and rising standards of customer satisfaction in the face of rising insurance, case management, resource constraints, and outpatient rivalry is pushing facilities to explore outsourcing. Besides that, the challenging strategic and nonfinancial obstacle of radiology's transformation from digital signals makes the organization and financial support of radiology far more of an impediment to health facilities. It is hard to overlook the advantages of a healthcare center becoming more reliable at what they're doing when evaluating the impact this will have on the services offered while offering access to quality health care, thus further reducing waiting costs and time. If the efficiency improvements generated finally came at an outsourcing expense, only another corporation adversely affected is the entire American medical system. Inevitably, by pressuring American medical costs to decrease an organization's success for more individuals in the name, the financial system will see an opportunity from practice. With no standalone treatment, the American framework would tend to be far too costly for ordinary residents, despite compensation, to make it feasible for emerging nation-wide healthcare programs to present a severe challenge to the result of hospitals worldwide. Practical limits to outsourcing health care provision to other Countries.

Outsourcing could be seen as an efficient implementation of cost savings both for the medical professional and a patient. The primary examples of specific outsourcing, known as medical tourism, were Howard Straub and Robert Beeny, acquiring the needed surgery for a quarter of the price with the same operation in the United States (Hill & Hult, 2018). After all, those funds are also paid out of pocket, since most American health insurers do not represent service charges in overseas nations. In the relation of power on the subcontracting health care professionals themselves, consideration needs to be given on which care can be physically farmed out. Whereas the X-ray descriptions in the text present a simple, inexpensive outsourcing route through the use of the Internet, more rigorous research may prove daunting both morally and spiritually. For example, if a patient needs blood work in a laboratory environment, this wouldn't be feasible to travel the required samples to some other nation for test results. At the greatest, it could be transferred to a local medical facility that focusses on testing rather than an internal hospital lab with inadequate impact.

Outsourcing medical service, after all, requires practitioners to accurately assess design and support concerns. Hospital leaders must understand whether dealers may pursue increasing profits by empowering utterly pointless or more costly tests. So, in a persistently tricky job market, executives can think hard about bringing workers off the floor. Monetary gain can be seen as a driving factor component that led the treatment clinic to recognize an outsourcing structure in each case. Patients indicated that there was a possibility of rising performance as an extra incentive was the route to refining finances. Laboratories outsourced could save the hospital up to 20% yearly but continued to increase response time and potential performance deterioration from structural laboratories must all be regarded by the medical provider to produce the highest care to the community (Scott, 2017). Practical restrictions for several entities would begin with the going overseas necessary for such procedures.

The amount of transportation applied to the operations in one instance was just $10,000, although the sum was spent out of pocket because most American health providers do not pay the cost of treatment in foreign nations. Medicare will cover international hospital expenses if they have been accrued on board a ship in international waters (Loffredi, 2017). Otherwise, if an American individual pays travel insurance and gets injured in a foreign country, the insurance company must take care of hospital bills. Travel insurance is undoubtedly imperative when traveling outside the USA.


Medical tourism may be appealing to hear, but some issues need to be well-thought-out before you sign up for medical or surgical treatment in a foreign country. The financial advantages are well established, but the disadvantages may be dominant, even catastrophic in certain situations. Health tourism has benefits and drawbacks for patients besides healthcare professionals who use the procedure. Patients able to move beyond the United States can gain economically but may confront the obstacles combined with poor medical coverage and rehabilitation from home-based surgeries.

For the health insurance industry, the possible improvement in quality and expense savings should be utilized to get people back to the American sector. The development of medical tourism destination countries is being used to reintroduce healthcare professionals who have relocated by providing better possibilities and salary increases. In addition, patients who travel abroad are more inclined to support health care professionals such as surgeons, pharmacists, paleologists, etc. who are educated in their home nation. The market will experience patients' expenses, not to a rate that would directly impact the industry's bottom dollar. In relation, any detrimental consequences of medical visitors choosing to leave the United States are probably offset by foreign citizens rallying to America for word-class treatment instead of just willing to risk medical choices and practices in their own developing countries. The product strategy of medical tourism has been one of the variables significantly to the development of medical travel. The primary drivers which persuade individuals to practice medical tourism in specific nations due to them are the accessibility of small cost of medical services compared to their efficiency. More patient inflows to these nations will help boost their industrial growth through this reality.

Nevertheless, there is an inequity in the health delivery to local residents, predominantly to those who are entirely dependent on the excellence and quality of health care that is offered by the government. Quality critical medical tourism included wealthy people from a select community of rich people pursuing medical care overseas for advanced and high-quality medical facilities and resources scarcely given in their home nation. In contrast, low price medical tourism included fewer wealthy people traveling abroad for inexpensive medical care. One of its main results of modernization is the growth of international convergence and the interdependence between nation-states and regions. At the same time, the available trade in goods and individuals and the rise in the movement of goods and services are made possible by this significant global connection among both nations, which has dramatically developed the global market.


Great Indian hospitality can be biz too. The Economic Times (India) July 29, 2005Hill, C. W., & Hult, G. T. (2020). International Business: Competing in the global marketplace. New York, NY: McGraw Hill Education.Sanders, S. (2004). 'Outsourcing,' Sanitary Maintenance, 62(5), 12Scott, K. (2017, April 1). To Outsource or Not to Outsource. Retrieved March 31, 2019, from

Updated: May 19, 2021
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The Dominance of Global Medical Tourism. (2020, Sep 14). Retrieved from

The Dominance of Global Medical Tourism essay
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