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The Innovator's Prescription: A Disruptive Solution for Health Care by Jason D. Hwang, Jerome H. Grossman, Clayton Christensen

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Chapter 3Disrupting the Hospital Business Model

Though hospitals have existed since late antiquity, the concept of the hospital as we know it today did not begin to take shape until the eighteenth century in Europe.1 These early hospitals served a variety of purposes, including caring for the indigent and isolating contagious diseases like leprosy and tuberculosis. Unfortunately, with medicine still more an art than science, there just wasn't a lot that could be done for most of these patients. People generally thought of hospitals as places where one went to die. However, after the late nineteenth century, with support from governments and wealthy donors, hospitals gradually began to assume their role as respected centers of scientific research, ...

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