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China's health-care system has improved dramatically since the country adopted the reform and opening-up strategy. The population's need for health care is being satisfied to an extent. However, public hospitals, which are the most important providers of healthcare, have been beset by several conflicts of interest in this sector (Hu, 2010). As a result, reforming public hospitals has proven to be the most challenging aspect of implementing comprehensive health care reform (Yan, 2010). Reforming public hospitals, as Minister of Health has stated, is the most difficult assignment. In February 2010, five ministries, including the Ministry of Health, released the Guidelines on the Pilot Reform of Public Hospitals and agreed to reform public hospitals on a trial basis in sixteen cities across the country. This shows that the new hospital reform has begun its long and hard path (Zhou, 2010).
This paper examines the impact of the new healthcare reform on county-level hospitals like Ronggui Hospital through a case study.
This hospital is a Level 2-A rated one and is situated in Foshan City's Shunde District A general hospital and a public institution with its own legal identity. This hospital used to have twelve community medical care service stations, but they are now independent. The growth of public hospitals in the area, as well as the emergence of private hospitals, have heightened the level of market rivalry. The administration of Ronggui Hospital has been arguing how the hospital may flourish in a distinctive way in Shunde and even in the Pearl River Delta region, and this has been a hot topic