Competitive branding helps keep one organization from looking similar to another organization. Consequently, standing apart from the competition helps attract more consumers. Take the advent of managed care, for example. Before managed care, Blue Cross and Blue Shield were prominent in the field of health care coverage. Consumers gradually flocked towards Health Maintenance Organizations, Preferred Provider Organizations, and Point-of-Service products due to their affordability and specialization factors (Ahlquist, Knott, & Casanova, 1998). This rise in competition and newer brands caused admission rates to decrease. Health care organizations struggled with creating a more distinct brand image from the growing competition. In order to combat such a trend in the future, organizations will find an increased benefit to brand themselves differently from their competition.
Negative Consequences. Unfortunately, the use of health care branding may result in unexpected negative outcomes if not properly administered. One such negative consequence transpires from changes in health care reform, as shown with the American Recovery and Reinvestment Act of 2009. Part of this law demands the mandatory implementation of electronic health records, forcing health care organizations to heavily invest in IT system upgrades (Congressional Budget Office, 2012). As a result, health care organization branding efforts need to be restructured in order to accommodate to unexpected costs mandated by