Parallels between Consolidation of the Commercial Banking and Hospital Industries
Stephen Morrissette, Jamie Burgdorfer, Jordan Shields

Abstract
We believe that the consolidation experience in the U.S. banking system might hold meaningful lessons relative to future changes in the hospital industry. Both industries are historically fragmented industries, both are service providers, both are capital intensive and highly regulated, firms in both industries were historically independent locally owned/controlled, and both have strong ties to their community. Likewise, the patterns of consolidation seen in banking reveal insights about potential hospital consolidation. Lastly, we present implications from this comparison that may assist decision-makers as they navigate healthcare industry consolidation.

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