Industry Analysis & Industry Trends
General practitioners (GPs) are the first point of contact in the medical system. The Federal Government provides assistance to the industry via Medicare by covering the schedule fee of each GP consultation. GPs can charge the schedule fee (bulk-billing) or a higher price, which requires a patient to pay the gap between the schedule fee and the set price. Bulk-billing rates have climbed to about 82% over the past five years, further diminishing the out-of-pocket cost to the patient. Therefore, with out-of-pocket patient costs considerably lowered by Medicare, growth in industry revenue depends on growth in the volume of services provided.
Demand for GP services has steadily grown over the past five years as Australia's population increases and ages... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers to entry into the General Practice Medical Services industry are moderate. Difficulties faced by new entrants to the industry include significant educational requirements, building a viable client base and initial start-up costs. Prospective GPs are required to undertake a minimum four-year undergraduate degree to gain their medical qualifications. They then have to undertake three to four years of vocational training to become a GP, usually through the government-funded Australian General Practice Training program. The stringent educational qualifications required to become a GP are a significant barrier to entry.
It can take time for a new general practice to build a customer base... purchase to read more