Case Study on Apollo Hospitals

Topics: Medicine, Physician, Hospital Pages: 14 (2260 words) Published: August 2, 2012
Apollo Hospitals – Internationalization Strategy

RedSeer: Thoughts May 2009 S

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• Apollo - Background (evolution since inception)

Analysis of Apollo’s internationalization strategy

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Apollo Hospitals, started as the first corporate hospital of India, has grown remarkably 1 2

First super-specialty Hospital in India – Early 1980s y

Liberalization and Growth – Late 1980s; early 1990s



Wide Scale Marketing Efforts

Focus on middle and lower strata of Society


Global expansion and local penetration

• 1983 – Dr. Prathap
Reddy established the first ever corporate hospital of t h it l f India – Faced skepticism in his campaign that superspecialty hospital was viable in India – Was able to attract doctors from the west

• 1986 – At the
personal urging of Dr. Prathap Reddy, the then Prime th th P i Minister of India, Rajiv Gandhi, liberalized the Hospital Sector

• Apart from individual
patient and doctor referrals, which served as primary d i marketing tools in the 1980s, Apollo exercised various print, audio and video marketing tools

1990s onwards Till early1990s, the services of Apollo were restricted to the elite strata of society lit t t f i t criticism that its services were not for the masses

• Apollo has already
expanded to more than 45 Hospitals and more th 250 d than Apollo Clinics in India and abroad

• Apollo faced

• Has centers of
excellence in Sri Lanka, Bangladesh, Ghana, Nepal, Nigeria, Dubai, Qatar, Kuwait, etc.

• Apollo's business
began to grow in the 1990s, with the deregulation of the Indian economy, which drastically cut the bureaucratic barriers to expansion and made it easier to import modern medical equipment

• The successful
coronary bypass operation of the Vice President of India in 1993 gave a major boost to the Apollo brand and visibility

• Apollo reacted by
expanding its services to the poor class • Has set aside free beds for the poor • Has set up a trust fund • Is pioneering remote, satelliteremote satellite linked telemedicine across India

• Made an IPO and
raised $4.6 million in 1983

• Further initiatives
include South Africa, Tanzania, Mauritius, Yemen, Oman, Bahrain, Oman Bahrain Vietnam and Thailand, among others 3

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..and has become the single largest private hospital group in Asia 1983 India Chennai

Apollo attracts more than 10 million patients in India itself, from over 55 countries

2006 India Chennai1 Hyderabad1 Delhi1 Kolkata1 Ahmadabad1 Others (4)1 Others (250) 2 Overseas • SiL k 1 Sri Lanka • Bangladesh2 • The UAE2 • Nepal2 • Ghana2 • Nigeria2 • UK2 • Saudi Arabia2

Leadership, Quality and Network
• • •
The Apollo Hospitals Group is recognized as the "Architect of p p p g Healthcare" in India It is the largest corporate entity in healthcare in Asia and the third largest in the world It has won multiple accolades both inside and out of India. The Apollo p p Hospital in Chennai was the first Indian hospital to be awarded IS0 9002 and ISO 14001 Certifications and has been named “Best Private Sector Hospital in India” by The Week magazine Apollo manages over 6400 beds in different centers and is currently involved in either the management or ownership of 45 hospitals in India and abroad

• • • • • • •

(1) Apollo Hospitals (2) Apollo Clinics Source: Literature Search, Company website

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