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Value-Based Pricing

Meaning

Value-based pricing, within the healthcare economy of hormonal health, is a reimbursement model where the price of a pharmaceutical product or clinical service is determined primarily by the measurable clinical outcomes and therapeutic benefit it delivers to the patient and the healthcare system. This moves beyond traditional cost-plus or volume-based models to directly link the financial cost to the demonstrated efficacy and improvement in quality of life. It is a system designed to incentivize innovation that yields superior patient results.