--- title: "Meaning & Key Takeaway of: When providers have to compete on…" description: "\"“When providers have to compete on results, the problem of supply-driven demand, in which available capacity leads to care with questionable benefits, ..." image: "https://sms4smile.com/quotes/i/07a/michael-e-porter-9937_quote_when-providers-have-to-compete-on-result_1706579.jpg" --- # When providers have to compete on results, the problem of… ![“When providers have to compete on results, the problem of supply-driven demand, in which available capacity leads to care with questionable benefits, will largely disappear.” quote by Michael E. Porter](https://sms4smile.com/quotes/i/07a/michael-e-porter-9937_quote_when-providers-have-to-compete-on-result_1706579.jpg) [Download](https://sms4smile.com/quotes/i/07a/michael-e-porter-9937_quote_when-providers-have-to-compete-on-result_1706579.jpg) [Open image](https://sms4smile.com/quotes/i/07a/michael-e-porter-9937_quote_when-providers-have-to-compete-on-result_1706579.jpg) > ““When providers have to compete on results, the problem of supply-driven demand, in which available capacity leads to care with questionable benefits, will largely disappear.”” [Michael E. Porter](https://sms4smile.com/quotes/author/michael-e-porter/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. When providers compete on outcomes, excess capacity and low‑value care fade. **In simple terms:** Outcome‑based competition reduces waste. Key Takeaway Focus on results, not volume. Themes healthcare economics competition Mood strategic pragmatic Type business healthcare When to use this quote - hospital management - policy design - patient care - insurance contracts Key Concepts outcome‑based incentives resource allocation quality improvement Questions to Reflect On - How can outcomes be measured fairly? - What incentives ensure quality over quantity? A Different Perspective Implementation costs may be high. ★ ★ ★ ★ ★ No ratings yet [Care Questionable](https://sms4smile.com/quotes/about/care-questionable-1204518/) [Driven Demand](https://sms4smile.com/quotes/about/driven-demand-1204516/) [Problem Supply](https://sms4smile.com/quotes/about/problem-supply-1204517/) [Providers Compete](https://sms4smile.com/quotes/about/providers-compete-1204515/) [Supply Driven](https://sms4smile.com/quotes/about/supply-driven-1204514/) ## Related quotes > [“Economic growth took place at the product and industry level; growth was driven by demand and enabled by supply expansion.”](https://sms4smile.com/quotes/edward-a-hudson/economic-growth-took-place-at-the-product-and-industry-level-growth/) [Edward A. Hudson](https://sms4smile.com/quotes/author/edward-a-hudson/) > [Through Saansad Adarsh Gram Yojana, we want to give impetus to Demand driven development model instead of Supply driven development model. Let the villages…](https://sms4smile.com/quotes/narendra-modi/through-saansad-adarsh-gram-yojana-we-want-to-give-impetus-to-demand/) [Narendra Modi](https://sms4smile.com/quotes/author/narendra-modi/) > [Consumerists want to encourage private providers to compete with public providers because they believe that this will lead to increased efficiency and a more…](https://sms4smile.com/quotes/nick-boles/consumerists-want-to-encourage-private-providers-to-compete-with/) [Nick Boles](https://sms4smile.com/quotes/author/nick-boles/) > [Healthcare providers will compete to offer the best record of patient safety at the lowest prices. Hospitals and patients will benefit from having accurate…](https://sms4smile.com/quotes/timothy-murphy/healthcare-providers-will-compete-to-offer-the-best-record-of-patient/) [Timothy Murphy](https://sms4smile.com/quotes/author/timothy-murphy/) ## More by Michael E. 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The most salient force,…](https://sms4smile.com/quotes/michael-e-porter/the-strongest-competitive-force-or-forces-determine-the-profitability/) [Michael E. Porter](https://sms4smile.com/quotes/author/michael-e-porter/) > [“Standardized process guidelines belie the complexity of individual patient circumstances, and freeze care delivery processes rather than foster innovation. What is needed is competition…](https://sms4smile.com/quotes/michael-e-porter/standardized-process-guidelines-belie-the-complexity-of-individual/) [Michael E. Porter](https://sms4smile.com/quotes/author/michael-e-porter/) > [“Good quality is less costly because of more accurate diagnoses, fewer treatment errors, lower complication rates, faster recovery, less invasive treatment, and the minimization…](https://sms4smile.com/quotes/michael-e-porter/good-quality-is-less-costly-because-of-more-accurate-diagnoses-fewer/) [Michael E. 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