Correlates of Perceived Competitive Advantage among Hospital Management: A Multilevel Analysis

Kuo Cherh Huang, Ning Lu, Wei-Jung Chang, Hui Chih Chang, Jiun Shyan Chen

Research output: Contribution to journalArticle

Abstract

Purpose: As the hospital industry continues to undergo significant change and becomes an increasingly competitive environment, the concept of competitive advantage has received a considerable degree of attention in the healthcare literature. Using a multilevel modeling approach, this study evaluated the contributions of hospital characteristics and market competition on perceived competitive advantage of hospital managers in Taiwan. Methods: Data for this study were mainly collected using a questionnaire that was mailed to the top executives of 432 accredited hospitals in Taiwan in 2009. Valid responses were obtained from182 hospitals for an effective response rate of 42.1%. Results: Respondents indicated relatively moderate assessment of perceived competitive advantage (mean = 3.5, standard deviation = 0.72, on a five-point Likert scale). There were no significant correlations between the group-level predictor (competition of local healthcare market) and the individual-level ones. Results of multilevel analysis to simultaneously examine the effects of individual-level (hospital characteristics; level 1) and group-level (competition of local healthcare market; level 2) predictors on perceived competitive advantage indicated that the predictors at hospital level had a statistically significant effect on respondents' perception of competitive advantage of their hospitals. Nonetheless, there was insignificant market competition variation in perceived competitive advantage among respondents. Conclusion: We conducted a multilevel analysis that reflected the hierarchical structure of our data, where hospitals were nested within healthcare markets of different intensities of competition. Our results join a body of healthcare literature suggesting that hospital level is a significant predictor of hospital performance. However, we found no evidence of a strong relationship between the degree of local market competition and perceived competitive advantage of respondents. Taken together, the results of our empirical study shed light on some interesting issues regarding competitive advantage.

Original languageEnglish
Pages (from-to)170-174
Number of pages5
JournalJournal of Experimental and Clinical Medicine(Taiwan)
Volume4
Issue number3
DOIs
Publication statusPublished - Jun 2012

Fingerprint

Multilevel Analysis
Health Care Sector
Taiwan
Delivery of Health Care
Industry
Surveys and Questionnaires

Keywords

  • Competitive advantage
  • Hospital competitiveness
  • Multilevel analysis

ASJC Scopus subject areas

  • Medicine(all)

Cite this

Correlates of Perceived Competitive Advantage among Hospital Management : A Multilevel Analysis. / Huang, Kuo Cherh; Lu, Ning; Chang, Wei-Jung; Chang, Hui Chih; Chen, Jiun Shyan.

In: Journal of Experimental and Clinical Medicine(Taiwan), Vol. 4, No. 3, 06.2012, p. 170-174.

Research output: Contribution to journalArticle

Huang, Kuo Cherh ; Lu, Ning ; Chang, Wei-Jung ; Chang, Hui Chih ; Chen, Jiun Shyan. / Correlates of Perceived Competitive Advantage among Hospital Management : A Multilevel Analysis. In: Journal of Experimental and Clinical Medicine(Taiwan). 2012 ; Vol. 4, No. 3. pp. 170-174.
@article{115ec60d65544090ac23baa1f5325c82,
title = "Correlates of Perceived Competitive Advantage among Hospital Management: A Multilevel Analysis",
abstract = "Purpose: As the hospital industry continues to undergo significant change and becomes an increasingly competitive environment, the concept of competitive advantage has received a considerable degree of attention in the healthcare literature. Using a multilevel modeling approach, this study evaluated the contributions of hospital characteristics and market competition on perceived competitive advantage of hospital managers in Taiwan. Methods: Data for this study were mainly collected using a questionnaire that was mailed to the top executives of 432 accredited hospitals in Taiwan in 2009. Valid responses were obtained from182 hospitals for an effective response rate of 42.1{\%}. Results: Respondents indicated relatively moderate assessment of perceived competitive advantage (mean = 3.5, standard deviation = 0.72, on a five-point Likert scale). There were no significant correlations between the group-level predictor (competition of local healthcare market) and the individual-level ones. Results of multilevel analysis to simultaneously examine the effects of individual-level (hospital characteristics; level 1) and group-level (competition of local healthcare market; level 2) predictors on perceived competitive advantage indicated that the predictors at hospital level had a statistically significant effect on respondents' perception of competitive advantage of their hospitals. Nonetheless, there was insignificant market competition variation in perceived competitive advantage among respondents. Conclusion: We conducted a multilevel analysis that reflected the hierarchical structure of our data, where hospitals were nested within healthcare markets of different intensities of competition. Our results join a body of healthcare literature suggesting that hospital level is a significant predictor of hospital performance. However, we found no evidence of a strong relationship between the degree of local market competition and perceived competitive advantage of respondents. Taken together, the results of our empirical study shed light on some interesting issues regarding competitive advantage.",
keywords = "Competitive advantage, Hospital competitiveness, Multilevel analysis",
author = "Huang, {Kuo Cherh} and Ning Lu and Wei-Jung Chang and Chang, {Hui Chih} and Chen, {Jiun Shyan}",
year = "2012",
month = "6",
doi = "10.1016/j.jecm.2012.04.008",
language = "English",
volume = "4",
pages = "170--174",
journal = "Journal of Experimental and Clinical Medicine",
issn = "1878-3317",
publisher = "Elsevier Taiwan LLC",
number = "3",

}

TY - JOUR

T1 - Correlates of Perceived Competitive Advantage among Hospital Management

T2 - A Multilevel Analysis

AU - Huang, Kuo Cherh

AU - Lu, Ning

AU - Chang, Wei-Jung

AU - Chang, Hui Chih

AU - Chen, Jiun Shyan

PY - 2012/6

Y1 - 2012/6

N2 - Purpose: As the hospital industry continues to undergo significant change and becomes an increasingly competitive environment, the concept of competitive advantage has received a considerable degree of attention in the healthcare literature. Using a multilevel modeling approach, this study evaluated the contributions of hospital characteristics and market competition on perceived competitive advantage of hospital managers in Taiwan. Methods: Data for this study were mainly collected using a questionnaire that was mailed to the top executives of 432 accredited hospitals in Taiwan in 2009. Valid responses were obtained from182 hospitals for an effective response rate of 42.1%. Results: Respondents indicated relatively moderate assessment of perceived competitive advantage (mean = 3.5, standard deviation = 0.72, on a five-point Likert scale). There were no significant correlations between the group-level predictor (competition of local healthcare market) and the individual-level ones. Results of multilevel analysis to simultaneously examine the effects of individual-level (hospital characteristics; level 1) and group-level (competition of local healthcare market; level 2) predictors on perceived competitive advantage indicated that the predictors at hospital level had a statistically significant effect on respondents' perception of competitive advantage of their hospitals. Nonetheless, there was insignificant market competition variation in perceived competitive advantage among respondents. Conclusion: We conducted a multilevel analysis that reflected the hierarchical structure of our data, where hospitals were nested within healthcare markets of different intensities of competition. Our results join a body of healthcare literature suggesting that hospital level is a significant predictor of hospital performance. However, we found no evidence of a strong relationship between the degree of local market competition and perceived competitive advantage of respondents. Taken together, the results of our empirical study shed light on some interesting issues regarding competitive advantage.

AB - Purpose: As the hospital industry continues to undergo significant change and becomes an increasingly competitive environment, the concept of competitive advantage has received a considerable degree of attention in the healthcare literature. Using a multilevel modeling approach, this study evaluated the contributions of hospital characteristics and market competition on perceived competitive advantage of hospital managers in Taiwan. Methods: Data for this study were mainly collected using a questionnaire that was mailed to the top executives of 432 accredited hospitals in Taiwan in 2009. Valid responses were obtained from182 hospitals for an effective response rate of 42.1%. Results: Respondents indicated relatively moderate assessment of perceived competitive advantage (mean = 3.5, standard deviation = 0.72, on a five-point Likert scale). There were no significant correlations between the group-level predictor (competition of local healthcare market) and the individual-level ones. Results of multilevel analysis to simultaneously examine the effects of individual-level (hospital characteristics; level 1) and group-level (competition of local healthcare market; level 2) predictors on perceived competitive advantage indicated that the predictors at hospital level had a statistically significant effect on respondents' perception of competitive advantage of their hospitals. Nonetheless, there was insignificant market competition variation in perceived competitive advantage among respondents. Conclusion: We conducted a multilevel analysis that reflected the hierarchical structure of our data, where hospitals were nested within healthcare markets of different intensities of competition. Our results join a body of healthcare literature suggesting that hospital level is a significant predictor of hospital performance. However, we found no evidence of a strong relationship between the degree of local market competition and perceived competitive advantage of respondents. Taken together, the results of our empirical study shed light on some interesting issues regarding competitive advantage.

KW - Competitive advantage

KW - Hospital competitiveness

KW - Multilevel analysis

UR - http://www.scopus.com/inward/record.url?scp=84861999050&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84861999050&partnerID=8YFLogxK

U2 - 10.1016/j.jecm.2012.04.008

DO - 10.1016/j.jecm.2012.04.008

M3 - Article

AN - SCOPUS:84861999050

VL - 4

SP - 170

EP - 174

JO - Journal of Experimental and Clinical Medicine

JF - Journal of Experimental and Clinical Medicine

SN - 1878-3317

IS - 3

ER -