Author(s) :

Ria Gandotra.

Volume/Issue :

Abstract :

In recent years, private equity firms have had a specific investment focus in the healthcare sector in USA. Their acquisitions play a significant role in the current healthcare industry, ultimately impacting insurance companies, healthcare providers, and most importantly, patients. This article investigates the outcomes resulting from the acquisition of medical practices by private equity firms in USA. The focus is on key variables such as patient care, quality, and costs as a result of these transactions. Research shows that the implications are negative when analyzing variables of cost, patient care, employee structure, and long-term sustainability. Private equity firms aim to maximize short-term gains by utilizing practices such as raising the cost of services and reducing staffing, both of which affect patient care. To evaluate this issue, online research and journal articles were analyzed. Metrics used to quantify patient care and quality include patient satisfaction scores, clinical outcome success rates, patient-provider ratios, and operational metrics. The most significant finding is that private equity acquisitions in USA are shifting healthcare from a patient-centered model to a profit-driven one, raising major concerns about systemic impacts.