International Oncology Services Private Limited had plans to start operations as a standalone facility offering cancer care to patients in Delhi, India, but escalating real estate costs combined with the capital intensive nature of the company were a huge impediment. What's more, the high gestation period in a greenfield project led the firm creators to think of an alternative business model: a collaborative arrangement on a hub and spoke foundation with an established health care supplier in the area of Jaipur.
This was an accomplishment. The organization can leverage the transportation and patient facilities of partner hospital, while further adding its own technological, medical and research expertise to provide services at a cost effective price. Though the business grew rapidly in its first years, continuing success was by no means ensured. The management has to decide whether to enlarge with just one associate or embrace a multi-partner approach to take the business to another degree of growth. Authors Suren Mansingka and Rajesh Chakrabarti are affiliated with Indian School of Business.
PUBLICATION DATE: April 24, 2013 PRODUCT #: W13155-PDF-ENG
This is just an excerpt. This case is about STRATEGY & EXECUTION