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Knowledge@Wharton: Will Walmart’s Health Care Gamble Pay Off?

“Despite Walmart’s considerable resources, experts say the risk remains high because there hasn’t been a great track record of innovation in health care delivery. The potential for profits is a powerful incentive for Walmart to become a major player in the health care game, but the company has as much to lose as consumers have to gain from the pilot program. “My view is, knock yourself out,” Wharton health care management professor Mark Pauly said. “Innovation is a good idea generally, although in health care most innovation has not been successful. But when firms are willing to invest their own money in trying to do something imaginative, if they succeed, that’s to the good of consumers, and if they don’t, that’s to the harm of their stockholders. But that’s the way progress is going to be made.” Read more at Knowledge@Wharton, Becker’s Healthcare Review

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