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A Game of Chicken

Executive Summary

The high-level consolidation in hospital group purchasing has once again made price a primary focus of supplier/customer relationships. These new, bigger customers would seem to have all the leverage on their side. But the oligopolization of the hospital supply market in recent years--an oligopolization GPOs did much to foster--combined with the active M&A in the supplier industry has created product companies that themselves wield enormous clout.
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