Instructions

DIRECTIONS for the following four questions:

The Table I shows the comparative costs, in US Dollars, of major surgeries in USA and a select few Asian countries.

The equivalent of US Dollar in the local currencies is given in Table II.

A consulting firm found that the quality of the health services were not the same in all the countries above. A poor quality of a surgery may have significant repercussions in future, resulting in more cost in correcting mistakes. The cost of poor quality of surgery is given in Table III

 

Question 42

A US citizen is hurt in an accident and requires an angioplasty, hip replacement and a knee replacement. Cost of foreign travel and stay is not a consideration since the government will take care of it. Which country will result in the cheapest package, taking cost of poor quality into account?

Solution

Total cost incurred by the american citizen in various countries after taking cost of poor quality into account is ( in '000 USD)

America - 57 + 43 + 40 = 140

India - 11 + 9 + 8.5 + 5 + 7 + 9 = 49.5

Thailand - 13 + 12 + 10 + 5 + 5 + 6 = 51

Singapore - 13 + 12 + 13 + 4 + 5 + 4 = 51

Malaysia - 11 + 10 + 8 + 6 + 8 + 4 = 47

Hence the cheapest country is Malaysia.


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