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Impact of Telemedicine on Healthcare Service System Considering Patients’ Choice

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  • Xiaoli Wang
  • Zhiyong Zhang
  • Jun Zhao
  • Yongqiang Shi

Abstract

Telemedicine is an effective way to alleviate the congestion of hospitals and improve the utilization of medical resources. In this paper, we develop a stylized queue model to study whether the hospital should adopt telemedicine service and in which form (the gatekeeper system or dual-channel service system) the hospital should provide telemedicine service. Patients’ delay sensitivity and transportation cost are also considered in our model. Our main results follow. First, in most cases, telemedicine service can help to reduce the total cost of the healthcare system, and patients treated online or offline can both benefit from the adoption of telemedicine. Second, the dual-channel healthcare system is more flexible than the traditional outpatient system and the gatekeeper system. There exists an optimal market segmentation of the two channels in the dual-channel healthcare system. Finally, we find that the hospital should implement the telemedicine when the transportation cost is high or patients have a large gap between online and offline waiting sensitivity.

Suggested Citation

  • Xiaoli Wang & Zhiyong Zhang & Jun Zhao & Yongqiang Shi, 2019. "Impact of Telemedicine on Healthcare Service System Considering Patients’ Choice," Discrete Dynamics in Nature and Society, Hindawi, vol. 2019, pages 1-16, February.
    • Handle: RePEc:hin:jnddns:7642176
    DOI: 10.1155/2019/7642176
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    Cited by:

    1. Sabuj Kanti Mistry & Miranda Shaw & Freya Raffan & George Johnson & Katelyn Perren & Saito Shoko & Ben Harris-Roxas & Fiona Haigh, 2022. "Inequity in Access and Delivery of Virtual Care Interventions: A Scoping Review," IJERPH, MDPI, vol. 19(15), pages 1-12, August.
    2. Xianyi Wang & Xiaofang Wang & Hui He, 2021. "Contracts to Coordinate Healthcare Providers in the Telemedicine Referral System," Sustainability, MDPI, vol. 13(18), pages 1-25, September.
    3. Yanbo Ma & Zheng Li & Kaiyue Liu & Zhengmin Liu, 2022. "Price Decision-Making in Dual-Channel Healthcare Services Supply Chain Considering the Channel Acceptance, Price Ceiling, and Public Welfare," IJERPH, MDPI, vol. 19(20), pages 1-23, October.

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