The hospital is a public institution is not not for profit but not for the purpose of profit, the state policy to support public hospitals belonging to the dao unit of public welfare institutions in the state regulations.
1, first of all need to first understand the definition of institutions:
Institutions relative to business units, they are not for profit, is a branch of some state institutions. Generally to promote social welfare, to meet the needs of social culture, education, science, health and other aspects of the provision of a variety of social services for the direct purpose of social organizations.
2. Secondly, we should understand the difference between for-profit and non-profit:
Non-profit is not not making money, do not want money.
The so-called for-profit business model means that it operates to maximize profits, and its business strategy and business decisions are made entirely from profit.
Non-profit business model, the purpose of its operation is to pursue social benefits as the highest criterion of comprehensive benefits, business goals and objectives are to meet the current and long-term medical needs of the people. Therefore, the difference between the hospital profitable operation and non-profit business model does not lie in the actual operating results of the hospital with or without a certain balance or loss.
Expanded:
Difference between for-profit hospitals and non-profit hospitals:
1, business objectives are different
For-profit health care institutions operate with the goal of maximizing profits; non-profit health care institutions operate with the goal of a specific social goal, not to make money for the purpose.
2, the distribution of different
Profit medical institutions profit, the investor of the after-tax profits can be dividends; non-profit medical institutions do not aim to make money, but in order to expand the scale of medical care, can also be appropriate profit, but this profit can only be used for their own development, can not be dividends.
3, the disposal of property in different ways
Profit medical institutions and termination of services, investors can dispose of their own personal residual property; while the termination of non-profit medical institutions, the residual property can only be disposed of by the social management or other non-profit medical institutions.
4. Different uses of income and expenditure balances
The income and expenditure balances of for-profit medical organizations are used for investor returns. Non-profit medical institutions, income and expenditure, balance can not be used for investor returns, nor for its employees in disguise, all profits and surpluses can only be invested in the re-development of the organization, for the purchase of equipment, the introduction of technology, to carry out new services or to provide low-cost health services to citizens.
5. Whether or not to enjoy property subsidies
Government-run non-profit medical institutions in counties and above are mainly targeted subsidies, which are arranged by the same level of finance. There are no financial subsidies for for-profit medical institutions.
6, price standards are different
Profit medical institutions provide medical services to implement market-adjusted prices, medical institutions according to the actual cost of services or market supply and demand for independent price setting .
Non-profit medical institutions to provide medical services to implement the government-guided price, medical institutions in accordance with the benchmark price set by the competent authorities, and within the scope of its fluctuations, to determine the actual price of medical services in their own units.