Slow recovery: Industry demand has grown faster than the number of hospitals in Texas

Much like the national Hospitals industry, the Texas industry has grown steadily over the past five years, as demand for healthcare services has risen. The Patient Protection and Affordable Care Act, which was passed prior to the five-year period, has drastically boosted demand for healthcare over the past five years by expanding insurance coverage. However, while demand for hospital services has grown over the past five years, the number of hospitals in Texas has grown slowly. This slow growth is mainly due to Texas has a concentrated Hospitals industry with several large well-established healthcare networks. This concentration has made it slightly difficult for new hospitals to enter the industry in Texas...purchase to read more.

Industry Statistics & Market Size
Revenue
$70bn
Annual Growth 12-17
3.6%
Forecast Growth 17-22
Profit
Employment
348,723
Businesses
470

Industry Threats & Opportunities

  • The number of hospitals in Texas is expected to grow faster than the US industry
  • The nursing shortage has made it difficult for hospitals to increase employment
  • Rising disposable income will result in higher profit margins
  • Industry Report - Industry Locations Chapter

    In Texas, the distribution of establishments in the Hospitals industry is closely tied to the population. Hospitals generate revenue by seeing patients, so hospitals need to locate in highly populated areas where there is strong demand for healthcare services. For example, North Texas accounts for 21.4% of industry establishments and 27.1% of the state's population. This region accounts for the most establishments in the state and is also the most populated region in Texas. However, some regions account for a smaller percentage of industry establishments than they do the population. The Gulf region accounts for 16.3% of establishments and 24.9% of the population. This discrepancy is due to hospitals needing to operate in underserved areas. Rur...purchase to read more.

    Additional Insights for the Hospitals in Texas Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Hospitals in Texas Industry are

  • Access to highly skilled workforce
  • Proximity to key markets
  • Understanding government policies and their implications
  • IBISWorld analysts also discuss how external factors such as Federal funding for Medicare and Medicaid and Number of people with private health insurance in Texas in the Hospitals in Texas industry impact industry performance..

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    What's in this report

    What is the Hospitals in Texas Industry?

    This industry includes operators licensed as general medical and surgical hospitals that provide surgical and nonsurgical diagnostic and medical treatment to inpatients. Hospitals maintain inpatient beds and usually provide other services, including outpatient, operating room and pharmacy services. The industry excludes psychiatric and other specialty hospitals.

    Industry Products
  • Outpatient Services
  • Inpatient Services
  • Industry Activities
  • Inpatient care
  • Outpatient care
  • Anatomical pathology services
  • Diagnostic X-ray services
  • Clinical laboratory services
  • Operating room services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Federal funding for Medicare and Medicaid
  • Number of people with private health insurance in Texas
  • Number of adults aged 65 and older in Texas
  • Per capita disposable income in Texas

  • Current Performance
  • Healthcare reform
  • Moderate market share
  • Chart: Revenue Growth

  • Industry Outlook
  • Demand drivers
  • Industry structure
  • Table: Hospitals in Texas Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Hospitals in Texas Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Life Insurance & Annuities
  • Health & Medical Insurance
  • Health & Welfare Funds
  • Consumers

  • Key Selling Industries
  • Brand Name Pharmaceutical Manufacturing
  • Diagnostic & Medical Laboratories
  • Food Service Contractors
  • Janitorial Services
  • Medical Instrument & Supply Manufacturing
  • Medical Supplies Wholesaling
  • Primary Care Doctors
  • Psychologists, Social Workers & Marriage Counselors
  • Specialist Doctors
  • Waste Collection Services

  • Products & Services
  • Inpatient Services
  • Outpatient Services
  • Chart: Hospitals in Texas Industry Products and Services Segmentation

  • Major Markets
  • Private insurance
  • Government insurance
  • Non-patient care revenue
  • Other patient care revenue
  • Out-of-pocket payments
  • Chart: Major Market Segmentation for the Hospitals in Texas Industry

  • Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchases and other costs
  • Chart: Cost Structure Benchmarking – Sector vs Hospitals in Texas

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Hospitals in Texas Industry

  • Baylor, Scott and White Health, Houston Methodist Hospital, Medical City Dallas Hospital, Memorial Hermann-Texas Medical Center, University of Texas Southwestern Medical Center,
  • Table: Baylor, Scott and White Health - financial performance
  • Table: Houston Methodist Hospital - financial performance
  • Table: Medical City Dallas Hospital - financial performance
  • Table: Memorial Hermann-Texas Medical Center - financial performance
  • Table: University of Texas Southwestern Medical Center - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Hospitals in Texas Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Hospitals in Texas Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Number of people with private health insurance in Texas (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Circulatory System
  • The system that moves blood throughout the body, including the heart, arteries, capillaries and veins.
  • Critical Access Hospital (Cah)
  • A small facility that gives limited outpatient and inpatient hospital services to people in rural areas. CAHs must meet Medicare requirements.
  • Disproportionate Share Hospital
  • Hospitals that treat a disproportionate number of uninsured patients; under Medicaid, these hospitals are entitled to federal compensation.
  • Electronic Health Record (Ehr)
  • The systematic collection and maintenance of electronic health information about an individual patient.
  • Inpatient
  • Admitted patients who stay overnight or longer.
  • Outpatient
  • A patient admitted to a hospital, clinic or associated facility for diagnosis or treatment and released the same day.
  • Teaching Hospital
  • Instruction for medical students combined with assistance to patients and often linked to a medical school.
  • Telemedicine
  • An application of clinical medicine whereby medical information is transferred through interactive audiovisual media for the purpose of consulting and remote medical procedures or examinations.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Hospitals in Texas provides up-to-date sales and market data, allowing you to identify the product and customer segments driving revenue growth. The report identifies the leading companies in the industry, and offers strategic analysis of the key factors influencing the market. Our data forecasts are accompanied by full analysis to illustrate how the market is responding to dominant and emerging trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Hospitals in Texas:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Hospitals in Texas market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Hospitals in Texas, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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