Case study: "Hospital Corporation of America" by Kester, W. Carl

TABLE OF CONTENTS I.Introduction1 II.Key Issues2 III.Recommendations6 IV.References7 I.Introduction Hospital Corporation of America (HCA) is propriety, infirmary concern company founded in Nashville, Tennessee in 1968 with only one, 150-bed infirmary and then grew to become the nations largest hospital centering company. As of 1981, HCA have or eliminated 349 hospitals in the coupled States and overseas. During the 1970s, HCA achieved its growth by acquirement of existing hospitals and construction of emerging ones. During the period of 1968-1981, it constructed 70 unexampled and replacement facilities and acquired or lowtake the remain 279 of its hospital. Each year HCA evaluated many an(prenominal) potential acquisitions and areas for construction, with the criteria for natural plectron including the maneuver communitys need for health care services, the quality of the object glass hospitals medical staff and personnel, the race growth pattern in the area served, the facilities suitability for early refinement, and the hospitals overall financial position. Although HCAs map generated substantial cash for reinvestment, lock in it needed external financial support for its ambitious construction and acquisition program. In early dot of development, external financing were principally from revolving credits to finance hospitals chthonian construction, industrial revenue bonds and in camera placed, long-term mortgage loans fro amends companies funded completed hospitals and acquisitions.

Other sources were backbreaking to tap at first, due to the newness of propriety hospital manufacture and the small size and brusque track record of HCA, and the brusque image of hospital commission companies at that time. However, HCA could finally manage it as the industry matured, and HCAs strong performance became recognized. II.Key Issues Since its establishment, HCAs growth has been contributed by acquiring hospitals, constructing new ones, blowup of services, and the signing of new management contracts. Similarly to any another(prenominal) businesses that new... If you trust to get a encompassing essay, order it on our website: Ordercustompaper.com

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