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Anchor Institutions’ Purchasing Power and  Low-income Entrepreneurs 


Hospitals play a significant role in the national, state, and local economy. In San Mateo County, six of the largest 25 employers are hospitals. California hospitals spend over $9.7 billion a year on non-personnel expenditures, and their annual impact on the California economy is estimated to be in the trillions of dollars. However, the majority of hospitals predominantly procure with large national vendors, and less than 2% of national health system purchasing goes to businesses owned by women or people of color. Recognizing these missed opportunities, many hospitals are leveraging their supply chains to address the social determinants of their patients, workers, and neighbors’ health. Through programs and policies like local produce sourcinginclusive procurement goals, and support for local small businesses, hospitals are aligning their non-clinical practices with their mission to promote community health.