Mergers, networking, and vertical integration: managed care and investor-owned hospitals

Article Abstract:

The recent shifts of the healthcare enterprise from a charitable, community- oriented industry into that of a market-focused and profit-centered entity is prompting hospitals and other health-care organizations into networking, merging, and forming horizontally and vertically integrated organizations. The health care field's anticipation of managed care and fear of investor-owned hospital chains is another motivation. These mergers and consolidations lead to price and cost reductions and hold out the promise of competitive advantage.

Analysis, Health care industry, Vertical integration

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Getting to go in managed care

Article Abstract:

A study is conducted to evaluate developments in managed care systems. The study focuses on efficiency and competitiveness, community sharing, community health organization formation and barriers which may prevent successful completion of such health systems. Results show that managed care systems must develop ways of minimizing the costs of health care. However, health care providers must assume more responsibility in reducing its costs.

Finance, Medical care

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Commentary: competition, managed care, and trusteeship - can voluntary hospital governance survive? Will not-for-profit hospitals survive?

Article Abstract:

Richard L. Johnson cites several developments in the health care sector which will make it hard for voluntary or community hospitals to survive and continue serving the community interests. Contradictory to Johnson's claim, however, hospital governing boards possess the will to change the mix of assets, resources and activities of not-for-profit hospitals. These governing boards will lead the transformation of voluntary hospitals.

Hospitals, Community Hospitals, Hospitals, Voluntary, Voluntary hospitals

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