Information pertaining to the imperativeness of mergers that are Research Paper

Information pertaining to the imperativeness of mergers that are gaining prominence in the current business world - Research Paper Example The two institutions are chosen due to their complimentary support capacity that they hold that would see them receive immense benefits from any strategic alliance or agreement. The institutions provide health care services and were founded with a core mission to offer quality, affordable and timely Medicare to patients. They focus on community outreach programs, research on various medications, provision of cancer services, coronary care, digestive and nutritional support. The paper also analyses their financial status based on the strength of their financial performance. It also evaluates the key ratios and the need for ensuring effective setting of debt collection period. Introduction Business merger is a performance strategy whose practice in gaining momentum in most settings due to its relevance in the current competitive society. The strategy provides viable incentives and synergies that enable organizations to improve on their standards of performance. Indeed, institutions wit h strong aspirations to recording vibrant performance levels should adopt the strategy. This is vital since it gives credible systems of engagement and operations that facilitate exemplary performance. It is imperative to note that mergers are strategic agreements between institutions that are set with an aim of enhancing service delivery and productivity. The agreements are driven under quality ideals and mutual understanding to ensure that the ultimate objectives are achieved. In most jurisdictions, for example, in US, mergers and strategic alliances remains innovative system of acquiring competitiveness and improvement on service delivery. The idea is under exploitation and is executed innovatively by various institutions. It has seen key institutions or organizations in diverse field of operations including health sector develop into vibrant corporations through consolidation of their potentials and synergies. The institutions have increased their performance capacity and servic e delivery systems to match the need of the consumers. In particular, the two health institutions that would materially benefit from this initiative are Georgia Baptist health care and Grant health organization. The two organizations would benefit from the initiative since they are set with pertinent mission and they hold complimentary capacities. That is Georgia heath care operate strong cancer clinics, coronary care centers and cancer treatment facility with limitation of financial or asset capacity for expansion that Grant health center has. This explains why the merger between the two institutions would yield quality results that would revolutionize service delivery in the health sector. The Companies, Justification and Imperativeness of the Merger As noted, the two companies selected for this study (Georgia health center and Grant medical center) are bound to receive substantial benefits from the merger initiative. This is evident since the institutions have strong complimentar y synergies that would steer development of health services. They would pull up and share resources to ensure that quality services  (Smith 1997) are delivered to in US citizens (Harris2006). The corporations are founded under strong mission to provide quality healthcare through adoption of conventional health care systems and resources. They seek to expand research on health issues to facilitate