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Competition Quote by Michael E. Porter

“Competition has taken place at the wrong levels, and on the wrong things. It has gravitated to a zero-sum competition, in which the gains of one system participant come at the expense of others. Participants compete to shift costs to one another, accumulate bargaining power, and limit services…” quote by Michael E. Porter
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““Competition has taken place at the wrong levels, and on the wrong things. It has gravitated to a zero-sum competition, in which the gains of one system participant come at the expense of others. Participants compete to shift costs to one another, accumulate bargaining power, and limit services. This kind of competition does not create value for patients, but erodes quality, fosters inefficiency, creates excess capacity, and drives up administrative costs, among other nefarious effects.””

Michael E. Porter

About This Quote

When competition focuses on shifting costs and gaining power rather than creating value, it harms quality, efficiency, and increases wasteful expenses.

In simple terms: Zero‑sum competition harms everyone.

Key Takeaway

Promote value‑creating competition.

Themes

economics healthcare competition

Mood

critical concerned

Type

analytical policy-oriented

When to use this quote

  • healthcare policy
  • business strategy
  • regulatory reform

Key Concepts

zero‑sum dynamics resource allocation systemic inefficiency

Questions to Reflect On

  • What incentives can shift competition toward value creation?
  • How can stakeholders limit zero‑sum tactics?
A Different Perspective

Competition can become destructive if misaligned.

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