Background Chronic hypoxia has been increasingly recognized for its far-reaching effects on various organ systems. It is known to stimulate adaptive responses in the blood, alter gastrointestinal motility, and impair pulmonary function. Despite the growing body of research, the interconnected impact of hypoxia on hematological changes, gastrointestinal function, and lung performance remains incompletely understood. Methodology This prospective observational study was carried out at Women Medical and Dental College, Abbottabad and Khalifa Gul Nawaz Teaching Hospital, Bannu, from January 2023 to January 2024. A total of 84 men were recruited and classified into mild and severe hypoxia groups based on oxygen saturation levels measured via pulse oximetry. Detailed demographic and clinical data were collected, and participants underwent evaluations including blood tests for hemoglobin, erythropoietin, and inflammatory markers, gastrointestinal transit assessments, and spirometry for lung function. Results The findings revealed that men in the severe hypoxia group exhibited significantly lower oxygen saturation and reduced FEV₁ values compared to those with mild hypoxia. In contrast, hematological adaptations such as elevated hemoglobin and erythropoietin levels were observed in the severe group. Additionally, a prolonged gastrointestinal transit time was noted, alongside increased inflammatory markers, suggesting a systemic response to chronic low oxygen levels. Conclusion The study demonstrates that chronic hypoxia in men was associated with pronounced changes in blood composition, gastrointestinal function, and pulmonary performance. These interrelated alterations underscore the potential role of systemic inflammation in mediating the adverse effects of hypoxia, emphasizing the need for further research to develop targeted therapeutic interventions.