This study aims to compare quality and process R&D of hospitals under different competitive regimes, in which the price of health care service is regulated by a government. We obtain the following results under a Hotelling location model. Firstly, quality and process R&D investments of two hospitals could be the social optimal level under the regulated price if the degree of altruism of hospitals are symmetric but not equal to 1. Secondly, quality R&D of two perfectly public hospitals (the degree of altruism=1) would be overinvested even under regulated price. Lastly, provided that the degrees of altruism of two hospital are not equal, quality and process R&D investments of the public hospital (the more altruistic one) are both more than those of the private hospital (the less altruistic one) under the regulated price. This solution shows that only the second best levels of the quality and process R&D investments can be reached if there are multi distortions in a mixed oligopolistic health care market. The policy implication of this study is that, on the aspect of quality and process R&D investments of hospitals, given that the degrees of altruism are asymmetric, the social optimal quality and process R&D investments could be achieved if the health care price is regulated by the government.