Association of market, mission, operational, and financial factors with hospitals' level of cash and security investments.
Using a resource dependency framework and financial theory, this study assessed the market, mission, operational, and financial factors associated with the level of cash and security investments in hospitals. We ranked hospitals in the study sample based on their cash and security investments as a percentage of total assets: hospitals in the high cash/security investment category were in the top 25th percentile of all hospitals; those in the low cash/security investment group were in the bottom 25th percentile. Findings indicate that high cash/security investment hospitals are under either public or private nonprofit ownership and have greater market share. They also serve more complex cases, offer more technology services, generate greater profits, incur a more stable patient revenue base, and maintain less debt.
McCue
M J
MJ
Department of Health Administration, Virginia Commonwealth University, P.O. Box 980203, 1008 East Clay St., Richmond, VA 23298-0203, USA.
Thompson
J M
JM
Dodd-McCue
D
D
D000067:Accounts Payable and Receivable; D003659:Decision Making, Organizational; D005069:Evaluation Studies as Topic; D005377:Financial Management, Hospital / Q000379:methods* / Q000706:statistics & numerical data; D019981:Health Care Sector / Q000639:trends*; D006302:Health Services Research; D006764:Hospitals, Community / Q000191:economics* / Q000458:organization & administration / Q000639:trends; D007449:Investments / Q000706:statistics & numerical data*; D006278:Medicare / Q000191:economics; D015233:Models, Statistical; D009937:Organizational Objectives; D014481:United States