Research on Integrated Elderly Care Service Supply Strategy under Competitive Subsidy Mechanism

The continued growth of health care expenditures and changes in health care demand patterns have brought challenges to societies around the world. The structural contradiction between supply and demand in integrated elderly care models has become a focus of concern for governments and academic circles around the world. The study constructed a price-quality decision-making model for the supply of elderly care services in medical and nursing care institutions under a competitive subsidy mechanism, and analyzed the impact of government price control and subsidy intensity on institutional portfolio decisions, expected returns, and bidding capabilities under the competitive subsidy model. The research results show that under the competitive subsidy model, the service supply strategy of medical and nursing institutions shows a supply trend of “relatively high price + high quality”; the government can improve and control the income, service quality and social welfare of institutions in the market.