Increased competition in the health care market has caused many hospitals to face difficulties and even become bankrupt. The improvement and transformation of operations is the only method for hospitals to survive, particularly in the case of public hospitals. Integration is a popular strategy for improving hospital performance. This case study primarily focuses on the reasons for and processes of integration, organizational integration and post-integration organizational identification, and the synergy of integration in Taipei City Hospital. The case study emphasizes the correlation between the integration strategy and organizational management of public hospitals and determines whether a differentiation strategy can be used to improve the competitive advantages and synergy of public hospitals.