Market Focus: Providers are racing for profits in Indy

HOOSIER HEALTH SYSTEMS LOOK TO OTHERS’ TURF TO REV UP MARKET SHARE

By John Mugford

For as long as folks familiar with the Indianapolis healthcare scene can remember, the metropolitan area’s four major hospital systems operated on somewhat friendly terms. That’s because each stayed within its own turf.

For years, Indy’s healthcare scene looked like this: Clarian Health Partners, with three major facilities, dominated downtown; St. Vincent Health, with hospitals in Indianapolis and Carmel, was dominant in the northern metro; Community Health Network had a foothold in the east; and St. Francis Hospitals & Health Centers, with two hospitals, was the key player in the south. A few county hospitals fill in the gaps in market coverage.

However, as Indianapolis has grown outward in recent years – the U.S. Census Bureau estimated the metro area’s population at 1.7 million in 2003 – the private providers, all of which are not-for-profit systems, began looking beyond their traditional footholds in an effort to increase market share and profits.

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