Wednesday, May 20, 2015

Consumer Satisfaction for Medical Services in Selected Private Hospitals: A Research on the Medical Services of the Republic of the Philippines a blog review from the research of (Faderogaya, 2010) Copyright Assumption University







The increasing demand of quality medical services of private hospitals in the Republic of the Philippines gives an increasing pressure to the medical service marketers in the country.  Furthermore, the medical private care business in the Philippines tries to pattern its services to the world class standards of the World Health Organization, National Health Service, Joint Commission International and other international accrediting organizations for world class medical service and tourism.  Congruently, the research tries to evaluate the status of medical service quality satisfaction of consumers of private hospitals in the Republic of the Philippines in which the content of the research will add knowledge to the status and determinants for further improvement of private medical care service of the Republic of the Philippines.









Observing the samples of 400 respondents the objective is to determine by the given independent variables to its significant difference of the dependent variables.
            By considering the components of SERVQUAL to realize the elements of dependent variables, consumer behavior satisfaction of medical service in the Philippines can be conceptualized considering the different customer behavior of medical service consumers.
The research emphasizes the importance of SERVQUAL to the empirical evaluation of the study and the usefulness in a hospital service environment.  The SERVQUAL scale is suited to the marketing perspective of service oriented organization in which this research adopted the method as dependent variables comparing to the demographic characteristics of medical service consumers.

            The research uses the inferential statistics of measuring the consumer satisfaction by independent sample T-Test and analysis of variance.  The result of the research considers the mathematical implication measurement of .05 as the level of significance of the study.  The findings resulted to consider tangibles (Sig..000), reliability (Sig..000), responsiveness (Sig..000), assurance (Sig..000), and empathy (Sig..005) in relation to racial group demographic variable.  For gender demographic variable, tangible (Sig..035) is considered high in significance.  For age demographic variable, tangibles (Sig..046) are also considered significant. For marital status demographic variable, tangibles (Sig..017) and responsiveness (Sig..030) are considered as significant.  For occupation demographic, variable tangibles (.000) was only considered significant.  Also, for education demographic, variable tangible (Sig..005), responsiveness (Sig..041), assurance (Sig..017), and empathy (Sig..015) are considered significant in difference.

Introduction of the Study
Globally, the medical service offered by the private and profit oriented medical organizations gives a different perspective of the health status of a given country.  Thus, the World Health Organization aims to a more globalized and equal public health by reducing the health depressed countries in experiencing the expensive medical expenditure. Profit oriented medical services vary from country to country, according to the economic, political, sociological, and cultural stability, which contributes to the negative inequality of medical service in a given country as a whole   (Woodward et al., 2001).
Accordingly, Sahay (2001) considers the continuing need of acquiring a global standardized medical infrastructure to achieve an equal medical treatment in a global perspective.  Poor infrastructures from the developing countries are driven by a lack of funds to acquire advance medical equipments and high rate tax being set by the government to privately owned medical organizations.  Furthermore, the effect of high tariffs in importing medical equipments from other countries gives a higher markup to the fees issued to the patients.  Consumers in private hospitals are expecting a higher quality of medical service due to the high hospital fee being issued.  The continuous upgrading of information technology infrastructure in the medical care of private medical organizations in the Philippines helps the country’s medical service quality meet with the standards expected by the international accrediting body such as the Joint Commission International Accreditation.
The migration of top medical workers from the Philippines resulted to a great negative effect in the medical service quality being served to the public.  The acquisition of high technology hospital equipments from other countries is ineffective without the participation of the human resource expertise which will operate the modern hospital equipments in the twenty first century (Aiken et al., 2004).
The insurance issued by the Philippine government to the public had unsatisfactory effect on the patients when it is being used to the privately owned hospital.  The benefits being allowed by the government to patients in privately owned medical organization cannot cover the high hospital and professional fee being issued by the privately owned hospital.  Thus, patients will resort to other private international and domestic insurance companies and will get more cash from the patient’s savings account to cover the expenses issued by the medical organization (Obermann et al., 2005).
Nationally, the price hike of pharmaceutical products gives a concrete reason why high hospital fees being asked to patients are high in price. Consequently, the continued acquisition of the branded pharmaceutical products owned by the multinational companies gives quality medicine to hospitals but with a high price that gives the patients high medical fees.   As of the year 1988, the legislation of Republic Act (RA) 6675 commonly known as the generic act, was implemented. Also, it reduced the price of pharmaceutical products from 75 percent to 95 percent.  Recently, Republic Act (RA) 9502 also known as “Universally Accessible Cheaper and Quality Medicines Act of 2008” gives the generic pharmaceutical companies time to prove their capabilities in competing the pharmaceutical market in the Philippines with high quality standards.   With this regard, it is not only the small pharmaceutical business players that are benefiting the act but also the people in general (Sobrepeña, 2009).
People from local provinces in the Philippines have difficulty to reach the private owned medical hospitals for treatment.  The accessibility and expensiveness of transportation and hospital fees gives the patients option to go to the government hospitals with low medical expertise that results to a higher mortality rate in a national perspective (Herva et al., 1999).  In addition, Wong (1999) studied the continued cases of acute heart strokes in Asia and the Philippines.  More and more Filipinos are suffering from severe heart problems due to poor eating habits and lack of physician’s consultation caused by expensive physician’s fee and inaccessible hospitals from the provinces.

The Philippines is situated in the Western border of the Pacific Rim with 7,107 islands with a total of 117,187 square miles.  Its population is 88% Catholic Christian and 4% are Muslim Malay.   The Philippines has about 86,264,000 in population as of early 2009.  The culture of Philippines is a mixture of several countries which colonized the island from the Spanish Colonization in 1521 before it gained the self-governing commonwealth of the United States.  After World War II, the Philippines achieved their independence on July 4, 1946.  By the year 1950, the Philippines is only the second to Japan in terms of economic stability.  However, when Ferdinand Marcos took into power from 1965 to 1986, many government policies were changed and the economic status of the Philippines drop rapidly until the President Aquino’s Administration came to power. The government policies, including healthcare revision of the government standards, are being ratified in 1986.  In as much as President Fidel V. Ramos, Joseph E. Estrada, and Gloria M. Arroyo try to save the ailing economy, the Philippines is challenged to cope with the fast moving economy around Asia.  (De Vera et al., 2008).

At this time, the Philippines is still in the status of being dependent from the aid of United States and other developed countries in terms of medical equipments, hospital equipments, and pharmaceutical supplies.  The economic stability of the country affects greatly the local people’s capacity to send themselves and other members of the family to hospitals for medical treatment (Shen & Williamson, 1999). 

The Department of Health of the Philippines are creating programs and strategic ways that the Filipino people in general can avail the prescribe medicines given by the physicians.  The new set of price reduction specifies certain medical drug that gives a great positive outcome to the top listed health illnesses in the country.  Despite the encouragement of the government to reduce pharmaceutical selling prices, the need for affordable and product quality pharmaceuticals are still a great concern to the pharmaceutical market in the Philippines.  The operating cost in manufacturing pharmaceutical products still matters when it comes to pricing in the actual market.   With this concern the medical service as a whole is being affected by the availability of medical supplies and hospital supplies in aiding the day to day service being rendered to medical service consumers (Department of Health of the Philippines, 2010).

The World Health Organization conveys the capability of every Filipino household to send their relatives to hospitals and acquire the right medical attention needed. As medical health awareness increases more quality and affordable hospital infrastructures as well as pharmaceutical products are needed in order to balance the quality of medical services in the Philippines.  With this manner, quality services not only in public but also in private hospitals will be affordable. (World Health Organization, 2009)  

Statement of the Problem
This inquiry intends to determine the customers’ satisfaction of the Filipino people towards the private medical services in the Philippines.  Specifically it attempts to find answers to the following questions:
1.  What is the level of customer satisfaction for hospital services in terms of tangibles, reliability, responsiveness, assurance, and empathy?
2.  Are there significant differences in the customer satisfaction for hospital services when being classified according to racial group, gender, age, marital status, occupation, and education?
3.  Which of the selected variables significantly contribute to the customer satisfaction of the Filipinos toward the private medical services in the country?




Research Objectives
The aim of the research is to measure the consumer satisfaction of Filipinos in the Philippines towards medical service.  The study considers different aspects both behavioral and technical sides of medical service that is being observed through the dependent variables of the study on the irregular manners of customers segment in medical service consumers in the Philippines.
The study further aims to determine the present level of consumer satisfaction for medical service in the Philippines.
Moreover, the objective determines the dependent variables:
  1. Tangibles
  2.  Reliability
  3.  Responsiveness
  4.  Assurance
  5.  Empathy
Also, its significant differences to the dependent variables:
  1. Racial group
  2.  Gender
  3.  Age
  4.  Marital status
  5.  Occupation
  6. Education
Scope of the Research
The research measures the given variables by getting samples through questionnaire provided to outpatients and inpatients or representatives of patients’ from 16 years old and above.  The range of this study covers the respondents from the selected private hospitals in the Philippines.  The research covers equal private hospital samples for testing from the given cities in the Philippines.  As of this time, The Philippines is comprised of 1,728 licensed hospitals, from which 1,061 are the private hospitals and 667 are the government hospitals.  In the government hospitals, 72 hospitals are under the supervision of Department of Health, 5 military hospitals, and 590 local government hospitals.  The overall hospital beds in the Philippines are 85,040 (Department of Health of the Philippines, 2009).
The areas being selected as the spotlight in getting the samples are from the cities randomly selected in the Philippine archipelago.
The researcher satisfies the required samples by getting the actual data from the private hospitals namely.
  1. Silliman University Hospital –Dumaguete City- Visayas Islands
  2. Cebu Doctors University Hospital- Cebu City- Visayas Islands
  3. (Baptist Hospital) Mindanao Medical Center- General Santos City- Mindanao Islands
Significance of the Study
1.     The most important aspect in medical service is the consumer satisfaction in the given country.  The performance of medical services will determine the mortality rate of the whole country’s population.
2.  Accordingly, both private and public hospitals will contribute to the whole performance of healthcare in the Philippines. This research will give knowledge for any further business improvement in private medical care sector of the Philippines and can contribute to the healthcare service in the Philippines in a bigger context.
3. The medical care in the Philippines will be upgraded based from the formulated outcome of the research.

FOR MORE INFORMATION ABOUT THE RESEARCH PLEASE FOLLOW THE LIBRARY WEBSITE LINK OF ASSUMPTION UNIVERSITY BELOW FOR MORE INQUIRY AND STATISTICAL REFERENCE OF THE RESEARCH STUDY:


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