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Why hospital executives think Walmart Health failed

May 3, 2024
Becker's Hospital Review
Summary
Hospital executives were not surprised by Walmart Health's failure, attributing it to the difficult economic realities and complexities of providing primary care at scale, which have long been challenges for healthcare systems. Despite Walmart's attempt to leverage its store locations to offer accessible care in mostly rural areas, the initiative struggled with high operational costs, challenging reimbursement scenarios, and difficulty in hiring clinicians, leading to the closure of its 51 centers. The experience reflects broader industry trends where health care disruptors face significant hurdles in creating sustainable, cost-effective care models, underscoring the importance of strategic partnerships with established health systems to enhance care accessibility and quality.
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