APOLLO HOSPITAL MARKETING STRATEGY

Insights about the marketing strategy that Apollo Hospitals have been following to Excel in healthcare sector.

1. APOLLO HOSPITALS STRATEGIC MANAGEMENT

2. About Company Apollo Hospitals has emerged as Asia’s foremost integrated healthcare services provider and has a robust presence across the healthcare ecosystem. The cornerstones of Apollo’s legacy are its unstinting focus on clinical excellence, affordable costs, modern technology and forward-looking research & academics. Apollo Hospitals has championed numerous social initiatives – to cite a few which assist underprivileged children – 1) SACHi (Save a Child’s Heart Initiative) 2) SAHI (Society to Aid the Hearing Impaired) 3) CURE Foundation.

3. Vision Mission Objective Goal Apollo’s vision for the next phase of development is to ‘Touch a Billion Lives’. Apollo's mission is to bring healthcare of International standards within the reach of every individual. They are committed to the achievement and maintenance of excellence in education, research and healthcare for the benefit of humanity " to make the patient experience safer and better" Healthcare Sustainability Growth for future.

4. Changing disease patterns resulting in need for specialized care Demand for low cost, high quality healthcare Public health insurance creates a market opportunity to serve low-income patients Absence of quality hospitals providing specialized care outside of major urban centers BUSINESS MODEL DRIVERS With over 25 years of experience in setting up hospitals across India and the world, Apollo is well placed to identify cities and towns that are in urgent need of healthcare facilities and the type of hospitals and services required.

5. SWOT ANALYSIS

6. STRENGTHS 4. Highly qualified and experienced doctors Present across all major cities of India 2. Strong brand name 3. Amazing Infrastructure and service

7. WEAKNESSES 3.High Cost Profit declines due to higher expenses 2. Lack of Presence in urban areas

8. OPPORTUNITY Source: Economic survey 2021-22: page 377 Increase in public expenditure in Health sector 2. Underdeveloped healthcare availability in india

9. THREATS 1. Newer evolving hospitals 2. Technological Innovations

10. Social Legal Environmental Increasing Population difficult to ensure gender diversity across all management levels Efficient Financial Markets Rising inflation leads to increase in expense PESTEL ANALYSIS Political Environment friendly Governance system Supportive policies and rules Rising bureaucratic corruption Economic Technological Best Infrastructure Innovative technological initiatives Tele-Emergency units in Himachal Pradesh entered into a PPP with the Government of Andhra Pradesh to upgrade urban primary health centres into electronic urban primary health centres Underdeveloped healthcare availability Increased costs of healthcare in western countries Employment laws Intellectual property laws Consumer protection laws

11. Porter 5 Forces Analysis 01 Competition 04 02 Power of supplier 05 Threat of substitute product Limited number of players HIghly differentiated products Product lacks differentiation Substitute products are available Customers cannot derive the same utility from substitute product Telemedicine or shifting to other medicine like Ayurveda or natural care If anyone looks as if they’re making a sustained profit, newcompetitors can come into the industry easily, reducing profit Ex.- Fortis, Max, Escort , WOCKHARDT and DUNCANS GLENEAGLES INTERNATIONAL 03 Power of customer Potential of new entrants Low Quite high Quite high Moderated Low Economic/psychological switching costs for consumers are high

12. CORPORATE STRATEGY

13. Stability Strategy Regular modernisation (use of technology) and R&D and providing medi care on affordable costs Focus on organ transplants, cardiac surgeries for which Apollo has been famous for Cont. and maintain the quality established.

14. Growth Strategy For Apollo Hospitals to unlock its full potential and for their consumers to derive optimum value through their services, they will continue to focus on organic and inorganic modes of growth which include greenfield hospital developments, and acquisitions and mergers of existing brownfield healthcare institutions. This approach ensures that Apollo Hospitals further improves its geographic reach and brings quality health services within the reach of every Indian.

15. Retrenchment Strategy TURNAROUND DIVESTMENT LIQUIDATION

16. BCG MATRIX STARS (FINANCIAL SERVICES, HUMAN RESOURCE) DOG (PLASTIC BAG) The BCG Matrix for Apollo Hospitals will help Apollo Hospitals in implementing the business level strategies for its business units. The analysis will first identify where the strategic business units of Apollo Hospitals fall within the BCG Matrix for Apollo Hospitals QUESTION MARK (LOCAL FOOD) CASH COW (SUPPLY MANAGEMENT)

17. GE MATRIX

18. BUSINESS STRATEGY

19. PORTERS GENERIC STRATEGY

20. Operations are driving force Human Resource i.e. doctors, nurses and robotics Hierarchical and divisional structure Extensive reach across the country Integrated value chain delivery model Strategy System Structure Elements Hard 1 2 3

21. Participative Cooperation rather than competition Nationwide famous for organ transplant Highly specialized and experienced Advanced surgeries and robotics Pioneering attitude and Proactive Involvement World Class Excellence Trustworthy spirit and compassionate care Shared Value Style Skills Elements Soft 1 2 3

22. 04 Staff

23. REVIEW & CONTROL

24. Corporate Governance The basic objective of the corporate governance policies adopted by the Company is to attain the highest levels of transparency, accountability and integrity. This objective extends not merely to comply with statutory requirements but also to go beyond them by putting into place procedures and systems, which are in accordance with the best practices of governance. Apollo believes that good corporate governance enhances the trust and confidence of all the stakeholders. Good practice in corporate behavior helps to enhance and maintain public trust in companies and the stock markets.

25. Corporate Governance Apollo Hospitals Enterprise Ltd. has a risk management model consisting of risk identification, measurement and treatment, and reporting. A risk management committee headed by managing director oversees risk management and reports to the board of directors through the executive management team. Typical events monitored are: competitive intensity and new entrants to the market; pace of obsolescence of technology and treatment methods; inflationary pressures and other factors affecting demand for our products; increasing costs of materials, transport and storage; labor shortages and attrition of key staff including medical professionals; and increased compliance and regulatory challenges.

26. PROCESS EVALUATION KEY PERFORMING AREAS: PARAMETERS: clinical professionals support personnel equipment patients environment of care quality indicators related to clinical processes. outcomes and infection control. analysis of sentinel events and root cause analysis. assessment of the quality of human resource. effective utilisation of resources through implementation of clinical pathways.

27. ACE 1 SCORECARD

28. VALUE CHAIN

29. VRIO Framework

30. VRIO Framework 01 Valuable 03 Inimitable 02 Rare 04 Organized Brand image. Ability to raise capital. Relationship with Suppliers. Propensity for Innovation. Corporate Social Responsibility. International Presence. Adaptability. Risk taking characterstics. Quality Product Offering. Location of the stores. Customer Experience. Marketing Communications. Financial Strength. Technological integration and development Employee Training R&D Distribution Channels.

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