REGULATION FINAL REVIEW (CH.11-14)
EXAM QUESTIONS AND ANSWERS
GRADED A+ 2026
Formal arrangements between two or more organizations for purposes of ongoing cooperation
and mutual gain/risk sharing is referred to as ____. - ANS strategic alliances
Larger alliances typically have more purchasing ____ because they can buy in larger volume. -
ANS power
The first and most basic expected outcome of alliances refers to financial performance and
addresses the issue of whether the alliance is primarily conceived for cost reduction or ____. -
ANS revenue enhancement
Power enhancement and ____ are grouped together because one often has implications for the
other. - ANS uncertainty reduction
The physician-hospital relationships fall into three broad categories: noneconomic integration,
economic integration, and ____ integration. - ANS clinical
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, Governance mechanisms of alliances include (1) joint ownership in which partners share control
of some or all alliance assets; (2) contracts that specify rights and obligations of alliance
partners; (3) ____ that rely on trust and goodwill; or (4) some combination of these. -
ANS informal agreements
A major difficulty that organizations face in addressing alliance problems is actually their
inability to identify the ____ correctly. - ANS problem
An example of an appropriate way to deal with an alliance problem is ____. - ANS swapping
capabilities
To form a successful alliance, the members of the alliance need to be able learn from their
experience and to build additional ____ as needed. - ANS Capabilities
____ is the governmental oversight of the private marketplace. - ANS Regulation
An example of an agency within the Department of Health and Human Services is the ____. -
ANS National Institutes of Health (NIH)
One challenge that the Food and Drug Administration (FDA) faces is to balance the public
demand for speedy access to newly developed drugs against the ____ that might accompany an
accelerated approval process. - ANS risks
A ____ is used by the IRS for assessing whether hospitals are operated to serve a charitable
purpose. - ANS community benefit standard
The ____ (HIPAA) limits the ability of new employers to exclude coverage for preexisting
conditions. - ANS Health Insurance Portability and Accountability Act
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