Grace

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On December 14, 2015, Grace commented on Petrobras: Government Mandated Operation Model is a Misfit :

Anas, thanks for an article of an inefficient model, without alignment of operational and business models. Government involvement can drive projects that are initially NPV negative, but are better for long-term growth and national success/power. However, involvement can also create inefficient monopolies and a system of throwing good money after bad as you have shown. I draw parallels to the US alternative energy subsidies, driving long-term benefit through supporting projects that may never be NPV positive or NPV negative for a long time, longer than the life of the company if it functioned non-subsidized. This will be an interesting case to see how it plays out. Thanks again for the article!

On December 14, 2015, Grace commented on DaVita Healthcare Partners, Inc. :

DaVita seems like a great example of how well a high control franchise model can work.

As you note, since AHA, many healthcare providers are acquiring to make themselves larger and increase bargaining power with payers. From an outside perspective, Healthcare Partners operating model would seem much broader than DaVita’s, with greater variety of care and disease than dialysis centers. I’d love more of your perspective on this – will the dialysis operating model fully translate to the healthcare practices model?

Great example of how first movers keep their edge through technical/user experience innovation (e.g. tablet and mobile applications).