Casid Hospital Merger

Words: 318
Pages: 2

Weaknesses: The distance of the two locations, more transactions will reduce number of competitors and, prices will increase.
Opportunities: Moving to their new demographic, networking, strategic alliances.
Threats: Organizational culture, price, and the merging of employees can engender conflict
A new merger between hospitals with a large bed capacities and consumers can create challenges. St Mark is located in the northern part but, Cassid hospital is in the eastern part. Tenn (2008) noted that metropolitan areas contained many other hospitals that offer a similar range of services; however, were located father away. Travel cost can be a problem so if the travel cost is low, the merging is good to prevent an anticompetitive price increase.