balaji hospital

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PART C

CHAPTER-1-INTRODUCTION

A. OVERVIEW OF THE SERVICE SECTOR AND ITS CONTRIBUTION IN

THE ECONOMY

The Indian healthcare industry, unlike other industries, stands untouched by recession.

There had been a steady growth in this sector, revenues from the healthcare sector

accounts for 5.2% of the GDP, making it the third largest growing sector in India, and

further the healthcare sector is projected to grow to nearly 1,80,000 crores by year 2012and a compounded annual growth rate (CAGR) of 15-17 percent for at least the next 7-10

years.

Indian Healthcare Sector structure / Market size

The sector comprises hospital and allied sectors that include:

(a) Medical care providers that includes physicians, specialist clinics, nursing homes and

hospitals

(b) Diagnostic service centers and pathology laboratories

(c) Medical equipment manufacturers

(d) Contract research organizations and pharmaceutical manufacturers

(e) Third party support service providers

In India, 80% of all the healthcare expenditure is borne by the patients.

Expenditure borne by the state is 12%. The expenditure covered by insurance

claims is 3%. As a result the price sensitivity is quite high. The high level

healthcare facilities are out of reach for the patients.

Among the top five therapeutic segments, gastro-intestinal and cardiac are

experiencing both high volume and value growth. Opthologicals, cardiovascular,

anti-diabetic and neurological drugs continue to top the growth list. The anti-


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infective, neurology, cardiovascular and anti-diabetic segments have witnessed a

high number of new product launches in recent years.

Current Healthcare Landscape

Amount spent on healthcare - 103,000 crores / annum

86,000 crores is the Healthcare delivery market

17,000 crores is the Retail pharma market

Key finndings of current private spending

Private spending on healthcare delivery 69,000 crores

61 % of this is spent on OPD services, 44,000 crores Indicates low levels of

affordability and a disease pattern dominated by infections

39 % on IPD services = 25,000 crores

85 % of IPD spend is in 5 areas : cardio, cancer, accidents, infections and

maternity

Road Ahead 2012

Private spending on healthcare delivery 156,000 crores because of an increase in

population will lead to increase treatments

Change in socio-economic mix will lead to 8 % increase in treatment rate and 30

% increase in avg. price paid

Change in prices 26 % increase in price per treatment

Change in mix of diseases 50 % increase in prevalence of lifestyle diseases will

lead to 12% increase in treatment rate & 7 % in price and this would lead to a

change in GDP from 5.2%to 6.2%


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Richest 15% will account for 50% of all private healthcare spending & 60% of

inpatient spend

Private spending would increase by another 39,000 crores if the insurance is

likely to impact on middle-income households approx. 350 million in 2012,

leading to achieving GDP spending to 7.5% and private spending on healthcare

delivery to 195,000 cr.

Healthcare Fact File

Parameters Current By 2012

No. Of Beds 1.2 beds per 1000 9,14,543 In addition

No. Of Doctors 50,00,000 doctors 6,25,130 In addition

No. Of Nurses 0.8 per 1000 8,36,000 In addition

Infant Mortality Rate 34:1000 10:1000

Maternal Mortality Rate 4:1000 1 :1000

% of population Insured 12.00% 50.00%

Total Private Spending 69,000 Crores 156,000 Crores

OPD Spending 44,000 Crores 82,000 Crores

Hospitals 30,000 hospitals approx 17300 In addition

Primary Health Centres /Community Health Centres

1,50,000 approx 1,64,000 In addition

Retails chemist outlets 3,50,000 24,000 In addition

Medical Colleges 229 179 New

Estd Current mrkt size 103,000 Crores 1,80,000 Crores

Average life Expectancy 63.3 years 74 years


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Investments plan in Healthcare

The sector has been attracting huge investments from domestic players as well as

financial investors and private equity (PE) firms. Funds such as ICICI Ventures, IFC,

Ashmore and Apax Partners invested about US$ 450 million in the first six months of

2008-09 compared with US$ 125 million in the same period a year ago, according to an

analysis carried out by Feedback Ventures. Feedback Ventures expects PE funds to invest

at least US$ 1 billion in the healthcare sector in the next five years.

According to a Venture Intelligence study, 12 per cent of the US$ 77 million

venture capital investments in the July-September 2009 quarter were in the

healthcare sector. As part of its Healthymagination initiative, GE will spend

US$ 3 billion over the next six years on research and development, provide US $2billion of financing over the next six years to drive healthcare information

technology and health in rural and under served areas, and invest US$ 1 billion in

partnerships, content and services.

The government, along with participation from the private sector, is planning to

invest US$ 1 billion to US $2 billion in an effort to make India one of the top five

global pharmaceutical innovation hubs by 2020.

The Ajay Piramal Group-owned private equity (PE) firm, India Venture Advisers,

will launch its second US$ 150 million healthcare fund next year.

Leading international clinic chain Asklepios International is gearing up for a foray

into the Indian healthcare market. As part of the 2.3 billion euro groups strategy

to enter the sub-continent, Asklepios is mulling the launch of a US$ 100 to US$

200 million fund.

Gulf-based healthcare group Dr. Moopen is investing over US$ 200 million forsetting up hospitals and eye-care centers across India.

Healthcare major, Fortis Hospitals plans to invest US$ 55 million, to expand its

facilities pan-India.

Employment Opportunities


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India faces a huge need gap in terms of availability of number of hospital beds per 1000

population. With a world average of 3.96 hospital beds per 1000 population India stands

just a little over 1.2 hospital beds per 1000 population. Moreover, India faces a shortage

of doctors, nurses and paramedics that are needed to propel the growing healthcare

industry. India is now looking at establishing academic medical centers (AMCs) for the

delivery of higher quality care with leading examples of The Manipal Group & All India

Institute of Medical Sciences (AIIMS) already in place.

A recent survey conducted by HarNeedi.com, gives an out look on the roles that are in

great demand, Specialist doctors such as, Cardiologists, Cardiothoracic surgeons,

Interventional Cardiologists, Orthopedics, Emergency Medicine Specialists, Oncologists,

Radiologists, Ophthalmologists, Neurologists, Neuro-surgeons, Gynecologists,

Urologists, Duty doctors etc are in great demand.

Some of the other profiles that are in great demand are that of experienced nurses and

technicians who can handle various specialties such as ICUs, Cath labs, Operation

Theaters, Emergency Departments etc. Technicians, like Radiographers, CT Technician,

Radiotherapy technicians, emergency medical technicians etc. are also in great demand.

Considering all the above facts and the massive growth in the healthcare industry, huge

investments would offer several opportunities for Indian companies to create 'win-win'

situations and there would be emerging opportunities for professionals as well in the near

future.


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CHAPTER-2- ABOUT THE COMPANY

A. PROFILE OF THE COMPANY

Sri Balaji Action Medical Institute has been established with a mission to provide world

class integrated healthcare facilities to all sections of the society with a humanitarian

touch, while maintaining a high standard of ethical practice and professional competency

with emphasis on training and education leading to research. "The Institute will impart

free Medicare to the poor and needy people with an aim to run the institute on no profit

no loss basis ".

"The Institute has been promoted by Lala Munni Lal Mange Ram Charitable Trust of

Action Group of Companies. The chairman of the trust Lala Mange Ram Agarwal, a

great philanthropist had a strong desire to build a hospital for the service of mankind. ".

Equipment, facilities and nursing standards are all structured keeping patient welfare as

the ultimate goal. The core catalyst of the hospital functions is patient welfare and

recovery. For us, freedom from pain, restoration of perfect health and resumption of

normal life with respect to the patient is of paramount importance and throughout the

treatment process the mental and physical well being of the patient is the main priority.We have thus encapsulated these work ethics in our motto healing with a human touch

and strive to always uphold it.

The Logo of the Institute portrays its philosophy; it consists of a hand embracing the

flame of life with a sphere in the background. The Human Hand represents the healing

touch and health care our dedicated teams of professional provide to brighten the lives of

those who come to us. The Flame denotes the traditional values of honesty and selfless

service towards our patients. The Sphere in the background reflects our commitment to

maintain international standards of excellence.


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Associated hospitals and clinics

1. Action Cancer Hospital, Paschim Vihar, New Delhi

2. Sri Balaji Hospital, Hissar, Haryana

3. Sri Balaji Hospital(Charitable ), Shazadabagh, New Delhi

4. Balaji Nirogdham Naturopathy and Yoga Centre, Bakhtawarpur, New Delhi

5. Day Care OPD Sarai Rohilla, New Delhi

6. Balaji Ashram at Vrindavan, Utter Pradesh

B. HISTORY OF THE COMPANY

C. VISION AND MISSION STATEMENT OF THE COMPANY

Vision

To become the largest healthcare provider NGO in the country with a

human touch.

Mission

Sri Balaji Action Medical Institute has been established with a mission to

provide world class affordable health care facilities to all sections of the

society with a humanitarian touch, whilst maintaining high standards of

ethical practices and professional competency with emphasis on training

and education leading to research.

D. KEY COMPETITORS OF THE COMPANY

Adiva Hospital, Anand Lok

Aster eye care, faridabad
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All India Institute of Medical Sciences, Ansari Nagar

Artemis Health Institute, Gurgaon

Batra Hospital, Tughlakabad

Columbia Asia,[3] Block F, Gol Chakkar,Palam Vihar, Gurgaon, Haryana 122 017

Cosmos Institute of Mental Health & Behavioural Sciences (CIMBS)

Deen Dayal Upadhyay Hospital, Hari Nagar

Dharamshila Cancer Hospital and Research Centre, Dharamshila Marg,

Vasundhara Enclave

Escorts Heart Institute & Research Centre, Jasola Vihar

Fortis Healthcare Limited, Karol Bagh,Greater Kailash,Vasant Kunj

Guru Teg Bahadur Hospital, Dilshad Garden

Holy Family Hospital, Jamia Nagar, Friends Colony

Indraprastha Apollo Hospitals, Sarita Vihar

Institute of Liver & Biliary Science, Vasantkunj D-Sector

Jaipur Golden Hospital, Rohini, Sector-3

K K Surgical & Maternity Centre, West Jyoti Nagar

Kalawati Saran Children's Hospital

Kasturba Hospital, Daryaganj

Lady Hardinge Medical College, Shaheed Bhagat Singh Marg

Lok Nayak Jai Prakash (LNJP) Hospital, Delhi Gate
http://en.wikipedia.org/wiki/All_India_Institute_of_Medical_Scienceshttp://en.wikipedia.org/w/index.php?title=Artemis_Health_Institute&action=edit&redlink=1http://en.wikipedia.org/wiki/Gurgaonhttp://en.wikipedia.org/w/index.php?title=Batra_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Columbia_Asiahttp://en.wikipedia.org/wiki/Columbia_Asiahttp://en.wikipedia.org/wiki/List_of_hospitals_in_India#cite_note-columbiaasia1-3http://en.wikipedia.org/w/index.php?title=Cosmos_Institute_of_Mental_Health_%26_Behavioural_Sciences&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Deen_Dayal_Upadhyay_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Dharamshila_Cancer_Hospital_and_Research_Centrehttp://en.wikipedia.org/wiki/Dharamshila_Cancer_Hospital_and_Research_Centrehttp://en.wikipedia.org/w/index.php?title=Escorts_Heart_Institute_%26_Research_Centre&action=edit&redlink=1http://en.wikipedia.org/wiki/Fortis_Healthcare_Limitedhttp://en.wikipedia.org/wiki/Karol_Baghhttp://en.wikipedia.org/wiki/Greater_Kailashhttp://en.wikipedia.org/wiki/Greater_Kailashhttp://en.wikipedia.org/wiki/Greater_Kailashhttp://en.wikipedia.org/wiki/Vasant_Kunjhttp://en.wikipedia.org/wiki/Guru_Teg_Bahadur_Hospitalhttp://en.wikipedia.org/wiki/Holy_Family_Hospital_(New_Delhi)http://en.wikipedia.org/w/index.php?title=Indraprastha_Apollo_Hospitals&action=edit&redlink=1http://en.wikipedia.org/wiki/Sarita_Viharhttp://en.wikipedia.org/w/index.php?title=Institute_of_Liver_%26_Biliary_Science&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Institute_of_Liver_%26_Biliary_Science&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Jaipur_Golden_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Jaipur_Golden_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=K_K_Surgical_%26_Maternity_Centre&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Kalawati_Saran_Children%27s_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Kasturba_Hospitalhttp://en.wikipedia.org/wiki/Lady_Hardinge_Medical_Collegehttp://en.wikipedia.org/w/index.php?title=Lok_Nayak_Jai_Prakash_(LNJP)_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Delhi_Gatehttp://en.wikipedia.org/wiki/All_India_Institute_of_Medical_Scienceshttp://en.wikipedia.org/w/index.php?title=Artemis_Health_Institute&action=edit&redlink=1http://en.wikipedia.org/wiki/Gurgaonhttp://en.wikipedia.org/w/index.php?title=Batra_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Columbia_Asiahttp://en.wikipedia.org/wiki/List_of_hospitals_in_India#cite_note-columbiaasia1-3http://en.wikipedia.org/w/index.php?title=Cosmos_Institute_of_Mental_Health_%26_Behavioural_Sciences&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Deen_Dayal_Upadhyay_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Dharamshila_Cancer_Hospital_and_Research_Centrehttp://en.wikipedia.org/w/index.php?title=Escorts_Heart_Institute_%26_Research_Centre&action=edit&redlink=1http://en.wikipedia.org/wiki/Fortis_Healthcare_Limitedhttp://en.wikipedia.org/wiki/Karol_Baghhttp://en.wikipedia.org/wiki/Greater_Kailashhttp://en.wikipedia.org/wiki/Vasant_Kunjhttp://en.wikipedia.org/wiki/Guru_Teg_Bahadur_Hospitalhttp://en.wikipedia.org/wiki/Holy_Family_Hospital_(New_Delhi)http://en.wikipedia.org/w/index.php?title=Indraprastha_Apollo_Hospitals&action=edit&redlink=1http://en.wikipedia.org/wiki/Sarita_Viharhttp://en.wikipedia.org/w/index.php?title=Institute_of_Liver_%26_Biliary_Science&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Jaipur_Golden_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=K_K_Surgical_%26_Maternity_Centre&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Kalawati_Saran_Children%27s_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Kasturba_Hospitalhttp://en.wikipedia.org/wiki/Lady_Hardinge_Medical_Collegehttp://en.wikipedia.org/w/index.php?title=Lok_Nayak_Jai_Prakash_(LNJP)_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Delhi_Gate


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Maharaja Agrasen Hospital, West Punjabi Bagh

Maulana Azad Medical College, Bahadur Shah Zafar Marg

Max Healthcare, Max Super Speciality Hospital, Saket, New Delhi, 1, 2 PressEnclave Road, Saket, New Delhi - 110017

Medanta The Medicity, Gurgaon

Metro Center For Liver & Digestive Diseases, Noida

Metro Center For Respiratory Diseases, Noida

Metro Hospital & Heart Institute,Lajpat Nagar

Moolchand Hospital, Lajpat Nagar

National Heart Institute (Delhi), Community Centre, East of Kailash

Paras Spring Meadows Hospital

Primus Super Speciality Hospital, Chanakyapuri

Pushpanjali Medical Centre, Vikas Marg

Pushpawati Singhania Research Institute

Rajiv Gandhi Cancer Institute,Rohini

Ram Manohar Lohia Hospital, Baba Kharag Singh Marg

RG Stone Urology & Laparoscopy Hospital, Pitam Pura, Rajouri Garden

Rockland Hospital, Dwarka Sector 12, Delhi

Rockland Hospital, Qutub Institutional Area

Safdarjang Hospital
http://en.wikipedia.org/wiki/Maharaja_Agrasen_Hospital_(New_Delhi)http://en.wikipedia.org/wiki/Maulana_Azad_Medical_Collegehttp://en.wikipedia.org/wiki/Max_Healthcarehttp://en.wikipedia.org/w/index.php?title=Max_Super_Speciality_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Medanta_The_Medicityhttp://en.wikipedia.org/w/index.php?title=Metro_Center_For_Liver_%26_Digestive_Diseases&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Metro_Center_For_Liver_%26_Digestive_Diseases&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Metro_Center_For_Respiratory_Diseases&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Metro_Hospital_%26_Heart_Institute&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Metro_Hospital_%26_Heart_Institute&action=edit&redlink=1http://en.wikipedia.org/wiki/Lajpat_Nagarhttp://en.wikipedia.org/w/index.php?title=Moolchand_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Moolchand_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=National_Heart_Institute_(Delhi)&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Paras_Spring_Meadows_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Primus_Super_Speciality_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Chanakyapurihttp://en.wikipedia.org/w/index.php?title=Pushpanjali_Medical_Centre&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Pushpanjali_Medical_Centre&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Pushpawati_Singhania_Research_Institute&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Rajiv_Gandhi_Cancer_Institute&action=edit&redlink=1http://en.wikipedia.org/wiki/Rohini_Sub_Cityhttp://en.wikipedia.org/wiki/Rohini_Sub_Cityhttp://en.wikipedia.org/wiki/Ram_Manohar_Lohia_Hospitalhttp://en.wikipedia.org/w/index.php?title=RG_Stone_Urology_%26_Laparoscopy_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Rockland_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Rockland_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Safdarjang_Hospitalhttp://en.wikipedia.org/wiki/Maharaja_Agrasen_Hospital_(New_Delhi)http://en.wikipedia.org/wiki/Maulana_Azad_Medical_Collegehttp://en.wikipedia.org/wiki/Max_Healthcarehttp://en.wikipedia.org/w/index.php?title=Max_Super_Speciality_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Medanta_The_Medicityhttp://en.wikipedia.org/w/index.php?title=Metro_Center_For_Liver_%26_Digestive_Diseases&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Metro_Center_For_Respiratory_Diseases&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Metro_Hospital_%26_Heart_Institute&action=edit&redlink=1http://en.wikipedia.org/wiki/Lajpat_Nagarhttp://en.wikipedia.org/w/index.php?title=Moolchand_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=National_Heart_Institute_(Delhi)&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Paras_Spring_Meadows_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Primus_Super_Speciality_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Chanakyapurihttp://en.wikipedia.org/w/index.php?title=Pushpanjali_Medical_Centre&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Pushpawati_Singhania_Research_Institute&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Rajiv_Gandhi_Cancer_Institute&action=edit&redlink=1http://en.wikipedia.org/wiki/Rohini_Sub_Cityhttp://en.wikipedia.org/wiki/Ram_Manohar_Lohia_Hospitalhttp://en.wikipedia.org/w/index.php?title=RG_Stone_Urology_%26_Laparoscopy_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Rockland_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Rockland_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Safdarjang_Hospital


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Sanjeevan Hospitals, Daryaganj, Paharganj

Shree Hospital, Dwarka

Sir Ganga Ram Hospital, Rajendar Nagar

St. Steven Hospital,Tis Hazari

Sucheta Kriplani Hospital, Connaught Place

Titupati Kidney Stone Hospital

VIMHANS (Vidyasagar Institute of Mental Health and Neuro-Sciences), Nehru

Nagar

World Laparoscopy Hospital,Gurgaon

E. ORGANIZATIONAL STRUCTURE

Board of members

Lala Mange Ram Agarwal ChairmanShri Nand Kishore Agarwal Vice-ChairmanShri Raj Kumar Gupta PresidentShri R.C. Chharia General SecretaryShri Laxmi Naraian Goel Member Shri Subhash Chandra Agarwal Member Shri B.P. Jain Member
http://en.wikipedia.org/wiki/Sanjeevan_Hospitalshttp://en.wikipedia.org/w/index.php?title=Shree_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Sir_Ganga_Ram_Hospital_(India)http://en.wikipedia.org/wiki/Rajender_Nagarhttp://en.wikipedia.org/w/index.php?title=St._Steven_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Tis_Hazarihttp://en.wikipedia.org/wiki/Tis_Hazarihttp://en.wikipedia.org/w/index.php?title=Sucheta_Kriplani_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Titupati_Kidney_Stone_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=VIMHANS_(Vidyasagar_Institute_of_Mental_Health_and_Neuro-Sciences)&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=VIMHANS_(Vidyasagar_Institute_of_Mental_Health_and_Neuro-Sciences)&action=edit&redlink=1http://en.wikipedia.org/wiki/World_Laparoscopy_Hospitalhttp://en.wikipedia.org/wiki/World_Laparoscopy_Hospitalhttp://en.wikipedia.org/wiki/Gurgaonhttp://en.wikipedia.org/wiki/Sanjeevan_Hospitalshttp://en.wikipedia.org/w/index.php?title=Shree_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Sir_Ganga_Ram_Hospital_(India)http://en.wikipedia.org/wiki/Rajender_Nagarhttp://en.wikipedia.org/w/index.php?title=St._Steven_Hospital&action=edit&redlink=1http://en.wikipedia.org/wiki/Tis_Hazarihttp://en.wikipedia.org/w/index.php?title=Sucheta_Kriplani_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Titupati_Kidney_Stone_Hospital&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=VIMHANS_(Vidyasagar_Institute_of_Mental_Health_and_Neuro-Sciences)&action=edit&redlink=1http://en.wikipedia.org/wiki/World_Laparoscopy_Hospitalhttp://en.wikipedia.org/wiki/Gurgaon


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Shri Naresh Kumar Agarwal Member Shri O.P. Gupta Member Dr. Y.P. Bhatia Member Shri H.K. Agarwal Member Shri Anil Kumar Agarwal Member

Dr. Deepika Singhal Member


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CHAPTER-3- MARKETING STRATEGIES OF THE COMPANY

A. INTRODUCTION ABOUT THE MARKETING STRATEGIES

Marketing strategy is a process that can allow an organization to concentrate its

resources on the optimal opportunities with the goals of increasing sales and

achieving a sustainablecompetitive advantage.[1] Marketing strategy includes all basic

and long-term activities in the field of marketing that deal with the analysis of the

strategic initial situation of a company and the formulation, evaluation and selection

of market-oriented strategies and therefore contribute to the goals of the company and

its marketing objectives.

B. SEVEN PS OF THE MARKETING

The first four elements in the services marketing mix are the same as those in the

traditional marketing mix. However, given the unique nature of services, the implications

of these are slightly different in case of services.

1. Product: In case of services, the product is intangible, heterogeneous and

perishable. Moreover, its production and consumption are inseparable. Hence,

there is scope for customizing the offering as per customer requirements and theactual customer encounter therefore assumes particular significance. However,

too much customization would compromise the standard delivery of the service

and adversely affect its quality. Hence particular care has to be taken in designing

the service offering.

2. Pricing: Pricing of services is tougher than pricing of goods. While the latter can

be priced easily by taking into account the raw material costs, in case of services

attendant costs - such as labor and overhead costs - also need to be factored in.

Thus a restaurant not only has to charge for the cost of the food served but also

has to calculate a price for the ambience provided. The final price for the service

is then arrived at by including a mark up for an adequate profit margin.

3. Place: Since service delivery is concurrent with its production and cannot be

stored or transported, the location of the service product assumes importance.
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Service providers have to give special thought to where the service would be

provided. Thus, a fine dine restaurant is better located in a busy, upscale market

as against on the outskirts of a city. Similarly, a holiday resort is better situated in

the countryside away from the rush and noise of a city.

4. Promotion: Since a service offering can be easily replicated promotion becomes

crucial in differentiating a service offering in the mind of the consumer. Thus,

service providers offering identical services such as airlines or banks and

insurance companies invest heavily in advertising their services. This is crucial in

attracting customers in a segment where the services providers have nearly

identical offerings.

We now look at the 3 new elements of the services marketing mix - people,

process and physical evidence - which are unique to the marketing of services.

5. People: People are a defining factor in a service delivery process, since a service

is inseparable from the person providing it. Thus, a restaurant is known as much

for its food as for the service provided by its staff. The same is true of banks and

department stores. Consequently, customer service training for staff has become a

top priority for many organizations today.

6. Process: The process of service delivery is crucial since it ensures that the same

standard of service is repeatedly delivered to the customers. Therefore, most

companies have a service blue print which provides the details of the service

delivery process, often going down to even defining the service script and the

greeting phrases to be used by the service staff.

7. Physical Evidence: Since services are intangible in nature most service providers

strive to incorporate certain tangible elements into their offering to enhance

customer experience. Thus, there are hair salons that have well designed waiting

areas often with magazines and plush sofas for patrons to read and relax while

they await their turn. Similarly, restaurants invest heavily in their interior design

and decorations to offer a tangible and unique experience to their guests.

balaji hospital

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