Steward Plans to Buy Mercy - Literature review Example

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The paper presents the article which talks about Steward Health System intention to buy Mercy Health System of Maine. According to the article, Steward was established in 2010 when a private equity firm named Cerberus acquired the Catholic, six-hospital Caritas Christi Health System…
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Steward Plans to Buy Mercy
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The articles state that Steward's business model has been described as ‘Big Med’ by some doctors. This is so because of the firm large-scale, production-line medicine. Various players in the healthcare industry hold the view that Steward wants to create a network of high-quality hospitals. The main objective would be making services appealing even to cost-conscious citizens.
Steward is spending millions of dollars in acquiring Mercy and other facilities in order to ensure centralization and standardization. When this is achieved, it aims at providing higher quality and lower costs to consumers. According to the article steward expansion is triggered by the need to introduce new products and services that are accessible to more customers. The main idea is to compete more, based on quality and cost.
Healthcare providers are waiting to see how the transaction is going to impact the market. In my view, Steward should go ahead and acquire Mercy. This way, there will be increased access to quality health care, especially to the Greater Portland community. Read More
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