Healthcare startups compete in new digital spaces: the lure of virtual specialties
ISSN: 0275-6668
Article publication date: 13 February 2023
Issue publication date: 26 January 2024
Abstract
Purpose
This study aims to explore the rise of virtual specialty care startups and understand how the ventures leverage digital services to create a new market space. Given the high level of competition in an established industry like health care, the authors investigate the business models and competitive strategies of leading virtual specialty care startups with unicorn status (i.e. emerging, current and exited unicorns).
Design/methodology/approach
The authors performed an analysis of Crunchbase data to examine whether rising virtual care ventures target specialty care. They focused on companies from the USA, Europe and Asia-Pacific. The identified virtual specialty care ventures were investigated in-depth via a multiple case study. By reviewing corporate websites, Crunchbase data and media coverage, the authors analyzed the ventures’ business models and competitive strategies.
Findings
This study demonstrates that even in established and highly competitive markets such as health care, managers and entrepreneurs can still leverage digital services to unlock new market spaces. The data analysis reveals that virtual care startups target the field of specialty care. They create a new market space by focusing on fast access to services, personalization, measurable outcomes and affordability. The majority of investigated companies pursues a platform-based business model approach.
Originality/value
In the context of an established industry like health care, this study gives insights into a new generation of virtual specialty care ventures. By investigating the ventures’ business models and competitive strategies, the authors advance a young field of research.
Keywords
Citation
Jahn, J. and Bohnet-Joschko, S. (2024), "Healthcare startups compete in new digital spaces: the lure of virtual specialties", Journal of Business Strategy, Vol. 45 No. 1, pp. 58-71. https://doi.org/10.1108/JBS-09-2022-0170
Publisher
:Emerald Publishing Limited
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