Financial Management

Running Head: HEALTHCARE INDUSTRY 2

HEALTHCARE INDUSTRY 2

Healthcare Industry

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Institution

Date

The global healthcare market size stands at $9.59 trillion (PWC,2022). The US spent the most on healthcare, with the country spending in excess of $4 trillion and projected to reach $6.2 trillion by the year 2028. The healthcare industry is among the fastest-growing industry given the events of the global COVID 19 pandemic, with the industry being allocated in excess of 10% of the GDP in the majority of developed economies. Of particular interest is the global digital health market, which is growing fast with an estimated worth of $ 334 billion (Statista, 2022). The healthcare industry is growing at an annual growth rate of 7.3%. The higher growth rate is majorly attributed to the rising healthcare expenses, growth of global digital health, and the ever-thriving healthcare insurance industry.

Short-term trends majorly involve dealing with the COVID 19 pandemic. COVID 19 continues to drive the delivery of care for the year 2022. Moving forward, the healthcare industry is greatly shaped by the COVID 19. The majority of the focus is placed on ensuring an increased number of vaccinations, especially in poor countries which are yet to fully vaccinate the majority of their populations. COVID 19 has also shaped healthcare technology. There has been a huge shift in telemedicine, artificial intelligence, and healthcare data analytics which have massively expanded to aid response and recovery from the pandemic (Larrucea et al., 2020). This trend is surely going to impact healthcare in the long term. The long-term focus s majorly on completely ending the covid 19 pandemic and for government to better prepare for future pandemics.

My conclusion is that the healthcare industry continues to grow and presents numerous opportunities for anyone looking to venture into the industry. The COVID 19 pandemic was hugely disruptive, and with it came many opportunities that many individuals could maximize going into the future. However, a huge concern for me is the high cost of healthcare which needs to be controlled and addressed soon rather than later.

References

GICS - Global Industry Classification Standard. (n.d.). Www.msci.com. https://www.msci.com/our-solutions/indexes/gics

Larrucea, X., Moffie, M., Asaf, S., & Santamaria, I. (2020). Towards a GDPR compliant way to secure European cross border Healthcare Industry 4.0. Computer Standards & Interfaces, 69, 103408. https://doi.org/10.1016/j.csi.2019.103408

PricewaterhouseCoopers. (2022). Global health’s new entrants. PwC. https://www.pwc.com/gx/en/industries/healthcare/publications/new-entrants.html

Statista. (2022). Global digital health market forecast 2019 and 2026. Statista. https://www.statista.com/statistics/1092869/global-digital-health-market-size-forecast/