Take a position on whether or not monopolistic competition works within a healthcare setting. Support for your position should include a discussion of the monopoly model being used to predict the allocation of resources in healthcare markets within preferred provider organizations.

Monopolistic competition are kind of imprefect market condition where there will be so many players in the market which offer same kind of services to the client. In healthcare industry it will help the clients ( patients and other beneficieries) as because of stiff competiton they will get services at lower cost and at the best quality. The competition in the market results in providing unique value propostion to the clients by building new business models and cases. It reduces the overall cost for the medical care. But from the service providers point of view it will affect their profit margin as they have to compromise on their operational cost and have to be aggressive sometimes to introduce attractive packages to get clients for them. In a long run this competition can be considered as a constructive one where colloborative effort can be made and people can use the services based on their choices and preferences. Staretegc alliances between service providers inorder to share their technologies and facilties, resources would help the entire indutry to work for a good societial cause. Government tieups and initiative healthcare programs participation will help the service providers to enhance their visibility to the market.
 
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