Changes in Healthcare in the New Economy: Structure, Operation, Strategy, and Sources of
A strategy in the Art of War, which is the best-known work on ancient Chinese military
strategy, said that “know yourself and the enemy, and win with ease” (Sun Tzu, at around 400
But in the era of new economy where the competition is very fast and come in different
patterns as in the past, knowing yourself and the enemy are not enough. An organization has to
know more than in Chinese poem. In this era of knowledge-based economies, a yesterday enemy
may become a today alliance. Today, you may have no enemy but tomorrow your business will
be gone because of a new hi-tech enemy who makes your technology or the way you do business
obsolete. A strategy that fits the fast-changing competition has been explored. The third era of
strategy has been defined as a portfolio of relationships. Economies of scale and scope are well
known in the past. At the present time, strategy is known as a portfolio of relationship which will
focus on the economies of expertise.
A question for the new strategy will be how to become a
network centrality that consists of ideas and generate businesses out of those ideas before others.
The successful of Cisco, Microsoft, and Intel are strengthening the concept of network centrality,
using the concept of corporate venturing (Venkatraman and Subramaniam, 2002). In this era, to
win the competition, knowing yourself, enemy and also having good networking are needed.
Every industry has impacts of this changing to emerging economies, including
agricultural, manufacturing, and service business industry.
Examples of the impacts in the new
economy can be seen in several megatrends such as globalization, digitalization,
deregulation/privatization, changing demographics, changing industry mix, convergence wave,
commoditization of processes, and the increasing importance of emerging economies (Lee and