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3. The HHI is calculated by taking the market share of each firm in the industry, squaring. and summing the result. HHI-1(MS)+2(MS)2+3(MS)2+4(MS)2 number of organizations.

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3. The HHI is calculated by taking the market share of each firm in the industry, squaring. and summing the result. HHI-1(MS)+2(MS)2+3(MS)2+4(MS)2 number of organizations. These are not multipliers.) (keep in mind, the 1, 2, 3, 4 are simply the Consider the following hypothetical SNF industry example: SNF One market share = 25% SNF Two market share = 20% SNF Three market share = 18% SNF Four market share= 12 % SNF Five market share = 11% SNF Six market share = 9% SNF Seven market share = 5% 4. Respond to the following questions specific to the HHI: A. Calculate the HHI using the formula: HHI=1(MS)2+2(MS)2+3(MS)2+4(MS)2 Show your work. What is the score? B. Based on the HHI, how concentrated is the market? Explain. 5. Now, for comparison purposes, let's calculate the FFCR. A. Remember, we calculate FFCR by simply adding the market shares of the four largest firms (or organizations) in a market. Show your work. What is the score? B. Based on the FFCR, how concentrated is the market? Explain. 6. Based on the HHI and FFCR, as a healthcare leader, do you find the market attractive? Please explain why or why not connecting with course concepts. 3. The HHI is calculated by taking the market share of each firm in the industry, squaring. and summing the result. HHI-1(MS)+2(MS)2+3(MS)2+4(MS)2 number of organizations. These are not multipliers.) (keep in mind, the 1, 2, 3, 4 are simply the Consider the following hypothetical SNF industry example: SNF One market share = 25% SNF Two market share = 20% SNF Three market share = 18% SNF Four market share= 12 % SNF Five market share = 11% SNF Six market share = 9% SNF Seven market share = 5% 4. Respond to the following questions specific to the HHI: A. Calculate the HHI using the formula: HHI=1(MS)2+2(MS)2+3(MS)2+4(MS)2 Show your work. What is the score? B. Based on the HHI, how concentrated is the market? Explain. 5. Now, for comparison purposes, let's calculate the FFCR. A. Remember, we calculate FFCR by simply adding the market shares of the four largest firms (or organizations) in a market. Show your work. What is the score? B. Based on the FFCR, how concentrated is the market? Explain. 6. Based on the HHI and FFCR, as a healthcare leader, do you find the market attractive? Please explain why or why not connecting with course concepts

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