A nurse manager is participating in a strategic planning meeting where the organization is deciding how to restructure services to improve patient flow and reduce costs. The team discusses shifting routine follow-up visits and minor procedures to outpatient clinics, while combining several inpatient specialty units into a single centralized department at the main hospital. Which statement by the nurse best demonstrates understanding of the difference between consolidated care and ambulatory care?

"Consolidated care refers to outpatient specialty services, while ambulatory care refers only to home-based care."

"Ambulatory care is designed to increase inpatient bed capacity, whereas consolidated care shifts patients to community clinics."

"Ambulatory care and consolidated care both refer to the merging of inpatient units to improve workflow."

"Consolidated care involves centralizing similar inpatient services into one unit, while ambulatory care focuses on providing services in outpatient settings."