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Issue Date: January 1998


Five Trends to Watch in 1998
Physician practice management companies will continue to grow significantly in influence in the coming year, and this trend will be one of the most dramatic changes physicians can expect in 1998. In particular, these companies will move to consolidate specialists, affording them more market clout.
This prediction is one


Wanted: Your Comments, Opinions, Suggestions
This issue marks the beginning of our third year of publishing Physician Practice Options. In keeping with our goal to continuously improve the newsletter, we begin this year with two invitations to readers.
First, we are assembling a panel of regular readers to serve as “reader reactors.” These readers


To Fend Off Outside Interests, PCPs Form a Group Practice
Managed care has forced many health care providers to form partnerships. Gateway Medical Associates, a group practice of 18 primary care physicians and four nurse practitioners in Exton, Pa., is one example. Gateway formed its group with the help of a local hospital because the physicians were seeking an alternative


Single-specialty Companies Will Thrive, Says Physician-Turned-Investment-Banker
Q:What effect does the investment world have on the physician services industry?
A:A huge effect. But Wall Street affects all entities—even nonprofit organizations—because raising capital is fundamental to most growing concerns no matter how they are financed. Lately, the health care industry has been moving


Bar on the Corporate Practice of Medicine Affirmed in Illinois
Physicians seeking to steer through the turbulent trends in health care today may find that doing so is even more difficult after a recent ruling by the Supreme Court of Illinois. The legal issue involved affects how a group practice may affiliate with a physician practice management company (PPMC), a


Financial Advisers Smooth Merger Process
During the third quarter of 1997, health care companies announced 294 mergers and acquisitions, an increase of 9% over the number of mergers and acquisitions announced in the previous quarter.
Physician groups announced 72 transactions, or 25% of the total, and had more acquisitions than any other group. Small,




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