The merger of two community hospitals located in the same geographic market is called

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The merger of two community hospitals located in the same geographic market is an example of horizontal integration, as it involves the combination of two organizations operating at the same level in the healthcare industry, in the same geographic area. Vertical integration would involve the combination of organizations that operate at different levels within the healthcare industry, such as a hospital and a pharmaceutical company, for example. A leveraged buyout involves the use of debt to finance the acquisition of a company, while a conglomerate merger involves the combination of companies operating in different industries. While it is unfortunate if one of the hospitals ends up closing after the merger, it is not considered a type of merger.

The Merger of Two Community Hospitals Located in the Same