Business Proposal - Assignment Example

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This report will include a business proposal including an economic analysis for launching a private health insurance service in the existing healthcare segment of…
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Business Proposal
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Download file to see previous pages This business proposal concerns the introduction of a new private health insurance scheme in the country which will cater to the varying needs of the low to middle income group residents of the United States of America.
An oligopolistic market is a market structure in which a handful of firms compete and overshadow. The insurance market in the United States of America is a highly competitive market. As per the principles of Economics, when a market sector is communicably connected between few dominating firms, then it becomes a highly competitive market. In an oligopolistic market, although a few companies dominate, there remains a possibility of a number of small companies operating in the same market. For example, in the health care insurance market of the United States of America, there are multinational companies like Blue Cross organizations, Etna and Kaiser who are the main players in the sector. However, in addition to this, there is also some small scale independent health care insurance coverage provided as a part of creating a support system for the low income groups of people. Also, there are small private insurance companies which provide specialty insurance services for disabled and needy people (Economics Online Ltd, 2014).
This business proposal is focused on the emerging and existing demands in the market related to health insurance coverage. Also, the factor of the significance of health insurance coverage for the consumers and the manner in which premiums and coverage for these plans change in order to adapt to the external competitive environment are taken into consideration in the selected business proposal. A necessity of examining the results of certain quality metrics related to demands in the health care insurance market has been identified in the insurance market of the United States. The ...Download file to see next pagesRead More
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