What characterizes horizontal expansion?

Horizontal expansion is primarily characterized by the merger of organizations that provide similar products. This form of expansion allows healthcare organizations to increase their market share and enhance their competitive position by consolidating resources, streamlining operations, and achieving economies of scale. When organizations with overlapping services or products come together, they can eliminate redundancies, reduce competition, and leverage shared knowledge and infrastructure.

By pursuing horizontal expansion, organizations can also enhance their service offerings and improve patient care through integrated services. This strategy often leads to more cohesive patient experiences and more robust healthcare service delivery. Overall, horizontal expansion aims to strengthen the existing product lines and capabilities of organizations within the same market segment, thereby increasing their influence and operational efficiency.