FROM MY PT SCHOOL NOTES · HEALTHCARE SYSTEMS · UNIT 5 · CHAPTER 25
Game theory and difficult business choices
25 Game theory and difficult business choices Why can two competing clinics both make worse decisions?
Core ideas from class
- Game theory models decisions among interacting players with different incentives and potential outcomes.
- Identify players (clinic, payer, patient, employer), the choices available to each and what each party values.
- A simplified matrix can illustrate how short-term gains such as aggressive discounting may undermine long-term value for all parties.
Think like a PT
Two clinics consider longer opening hours. Compare patient access, clinician burnout, marginal costs and competitor response instead of copying the other clinic reflexively.
Remember
Analyze incentives and second-order effects before making a business move.
Historical source note: The source is a brief seven-page introduction and does not justify a full mathematical game-theory course.
From my class sources: 14 Game Theory.pdf. These are personal school notes with newer editorial context—not a current legal, payroll, payer-contract or reimbursement manual. Check applicable rules and dates before professional use.
