The assistance needed below is in short form/bullet points.
Hello, I am hoping I can leverage an Expert's business acumen. As part of a reading assignment I am to consider a healthcare company (Company A) that is interested in working with an out of state home care company. Company A is seeking this new venture, where they would offer the home care service in their state as well -working with the other company.
Since company A is already in health care (multiple operational hospitals - Acute care and seniors care) just not home care (the other companies business). I need to evaluate what type of structure would best work for this venture.
The attachment explains further.
Can an Expert help me brainstorm and fill out the boxes and questions?
I need to explain ideally with literature review (Harvard, or case studies) how the choice in structure would improve efficiencies in operation.
For the boxes you should see the attachment:
If there is no change then the present organization will provide efficient service in home care service in another state. The reason is that Organization A has experience and will deliver efficient service. High efficiency is the benefit. Since, organization A will operate the new service the costs are likely to be high, and it will have full control over the quality of service. However, Organization A may not be able to leverage the experience and ability of the home care company. The risk is that home care company may not contribute much. In case of sub-contracting, Organization A will have low costs but will have little control over the quality of service. The pro is that sub-contracting can be used to get lower costs but the con is that the quality of service provided may be indifferent. The main benefit of subcontracting is low cost/high profit. However, the risk is that the reputation of Organization A may suffer and it may face liability. The pros of forming a joint venture is that ...
This explanation provides you a comprehensive argument relating to New business venture strategy