Question

General Hospital is a 250 bed facility. Mercy Hospital is a 250 bed facility. They join to form one corporation, which is named General Hospital. The restructuring that has most likely occurred is a(n) _____________.

a) Merger
b) Acquisition
c) Consolidation
d) Amalgamation

Answer 1

General Hospital and Mercy Hospital have likely undergone a merger, which is the joining of two equal organizations, especially common in healthcare to improve efficiency and meet increasing demand.

Step-by-step explanation:

When General Hospital and Mercy Hospital, both 250 bed facilities, join to form one corporation retaining the name General Hospital, the restructuring that has most likely occurred is a merger. A merger is when two organizations of roughly equal power and status come together to form a single entity. This is different from an acquisition, where one organization purchases another, often becoming the dominant party. In the context of healthcare, mergers and acquisitions are often motivated by the need for greater efficiency, scaling up to meet demand, and standardization across practices.