Support our online development, and advance our onground research initiatives in free market economics, as we seek to showcase the brightest Next-Gen minds.
THE ME-P DISCLAIMER: Posts, comments and opinions do not necessarily represent iMBA, Inc., but become our property after submission. Copyright © 2006 to-date. iMBA, Inc allows colleges, universities, medical and financial professionals and related clinics, hospitals and non-profit healthcare organizations to distribute our proprietary essays, photos, videos, audios and other documents; etc. However, please review copyright and usage information for each individual asset before submission to us, and/or placement on your publication or web site. Attestation references, citations and/or back-links are required. All other assets are property of the individual copyright holder.
SPONSOR: http://www.CertifiedMedicalPlanner.org
Dr. David Edward Marcinko MBA MEd
***
***
Dynamic pricing, often associated with industries like airlines or hospitality, is increasingly being discussed in the context of healthcare and medicine. At its core, dynamic pricing refers to the practice of adjusting prices in real time based on demand, supply, and other market conditions. While this approach has proven effective in maximizing efficiency and revenue in other sectors, its application in medicine raises unique ethical, social, and economic questions.
The healthcare industry operates under different expectations than consumer markets. Medicine is not a luxury product but a necessity, often tied directly to survival and quality of life. Introducing dynamic pricing into this sphere means that the cost of treatments, drugs, or medical services could fluctuate depending on factors such as patient demand, availability of resources, or even time of day. For example, a life‑saving drug might be priced higher during a shortage, or hospital services could cost more during peak hours. This creates tension between economic efficiency and the moral obligation to provide equitable access to care.
One potential benefit of dynamic pricing in medicine is resource optimization. Hospitals and clinics often face challenges in balancing patient loads, staffing, and equipment availability. By adjusting prices dynamically, healthcare providers could incentivize patients to schedule non‑urgent procedures during off‑peak times, thereby reducing congestion and improving efficiency. Similarly, pharmaceutical companies might use dynamic pricing to manage supply chains more effectively, ensuring that scarce drugs are allocated where they are most needed. In theory, this could lead to better overall system performance and reduced waste.
***
***
However, the drawbacks are significant. Dynamic pricing risks exacerbating inequality in healthcare access. Wealthier patients may be able to afford higher prices during peak demand, while lower‑income individuals could be priced out of essential care. This undermines the principle of fairness that underpins medical ethics. Furthermore, the unpredictability of costs could create anxiety and confusion for patients, who already struggle with navigating complex insurance systems and billing practices. Unlike booking a flight or hotel, where consumers can choose alternatives or delay purchases, medical decisions are often urgent and unavoidable.
Another concern is transparency. Dynamic pricing models rely on algorithms and data analytics, which may not be easily understood by patients or even regulators. Without clear communication, patients could perceive pricing changes as arbitrary or exploitative. This could erode trust in healthcare institutions, which is critical for effective patient care. Moreover, the potential for abuse is high if profit motives overshadow patient welfare, leading to situations where prices are inflated during crises or emergencies.
The debate around dynamic pricing in medicine ultimately reflects broader tensions between market logic and social responsibility. While healthcare systems must remain financially sustainable, they also carry a moral duty to prioritize patient well‑being over profit. Any implementation of dynamic pricing would need to be carefully regulated, with safeguards to protect vulnerable populations and ensure transparency. Hybrid models, such as limited dynamic pricing for elective services combined with fixed pricing for essential care, might offer a compromise.
COMMENTS APPRECIATED
SPEAKING: Dr. Marcinko will be speaking and lecturing, signing and opining, teaching and preaching, storming and performing at many locations throughout the USA this year! His tour of witty and serious pontifications may be scheduled on a planned or ad-hoc basis; for public or private meetings and gatherings; formally, informally, or over lunch or dinner. All medical societies, financial advisory firms or Broker-Dealers are encouraged to submit an RFP for speaking engagements: CONTACT: Ann Miller RN MHA at MarcinkoAdvisors@outlook.com -OR- http://www.MarcinkoAssociates.com
Like, Refer and Subscribe
***
***
Share this:
Filed under: iMBA, Inc. | Tagged: david marcinko |
The Leading Business Education Network for Doctors, Financial Advisors and Health Industry Consultants 
Leave a comment