Vijay Govin­darajan is a pro­fessor of inter­na­tional busi­ness at Tuck School of Busi­ness, Dart­mouth Col­lege. Ravi Rama­murti is a pro­fessor at North­eastern Uni­ver­sity and director of its Center for Emerging Mar­kets. They are co-​​authors of the article “Deliv­ering World-​​Class Health­care Afford­ably,” in the cur­rent issue of Har­vard Busi­ness Review.

No matter how the fight over Oba­macare shakes out, the biggest chal­lenge facing U.S. health care will remain reducing costs while improving quality of care and access for patients. The expe­ri­ence of a few inno­v­a­tive Indian hos­pi­tals may point the way forward.

India’s health-​​care system as a whole has many prob­lems, but our research has uncov­ered nine pri­vate hos­pi­tals that pro­vide quality health care at a frac­tion of U.S. prices. Most of these hos­pi­tals are accred­ited by the U.S.-based Joint Com­mis­sion Inter­na­tional or its Indian equiv­a­lent, the National Accred­i­ta­tion Board for Hos­pi­tals & Health­care Providers. At a hos­pital where the pro­ce­dure is per­formed, a patient would pay $120 for cataract surgery, $250 for a caesarean-​​section delivery, $2,000 for a knee or hip replace­ment, $2,000 for an angio­plasty, $2,900 for cancer radi­a­tion treat­ment and $3,200 for open-​​heart surgery — 5 per­cent to 10 per­cent of U.S. prices. These pri­vate hos­pi­tals deliver med­ical out­comes com­pa­rable to that of good U.S. hos­pi­tals, as mea­sured by med­ical com­pli­ca­tion rates or post-​​treatment sur­vival rates. Fur­ther­more, they’re profitable.

Read the article at The Washington Post →