Marketing Overhaul of Shakti Hospitals – Case Study

1. How should he strengthen and if necessary modify the business model of

Shakti Hospitals to ensure that he can serve upscale customers, downscale
customers and customers to be provided free treatment under CSR policy?

You, as a business owner, are probably aware of areas where your company
could improve. Sometimes business owners want to improve their company
but don't know where to start.

This is a summary of some important steps you can take to begin improving
your business.

Examine your situation

Before you begin making changes, make sure you have a thorough
understanding of the factors influencing your company's success. These may
include your current business practices, market trends, or changes to your
operating environment.

The following tools can assist you in assessing the state of your business:

SWOT analysis - identifies your company's strengths, weaknesses,

opportunities, and threats.

Benchmarking - compares your company's performance to that of

similar-sized businesses in your industry.

Market research - entails researching your company's market and industry in

order to identify trends, changes, and customer or client demands.

Trend analysis - identifies consistent results or trends by analysing business

data collected over time.

Webinars (web-based seminars) - provide valuable information to assist in

the development of your business skills.
Set specific objectives.

Business objectives can be as broad or as specific as you like. Writing down

your goals will help you achieve them more easily. Make certain that your
objectives are:

Specific – state clearly what you want to achieve

Measurable – ensure you can evaluate success
Achievable – ensure your objective is something you have the time and
resources to meet
Relevant – ensure your objectives improve profit drivers and some aspect of
your business
Time - Set a deadline for completion.

After you've written down your goals, prioritise them to determine which
ones to focus on first. Some objectives may be more pressing than others. It's
also important to recognise that some goals will require a long-term strategy
because you won't be able to meet them right away due to resources,
finances, or time constraints.

Determine strategies for achieving your objectives.

Examine your objectives and make a list of the factors you believe are
causing your current situation. Consider what strategy you could employ to
improve the situation.

Depending on your objectives, you may want to consider hiring a business

professional, such as a professional trainer, a contractor, or a business
adviser. Consider what you can do on your own and where you might benefit
from some assistance.

Create a strategy for putting your strategies into action.

To achieve your objectives, you must figure out how to put your strategies
into action. Strategies frequently include a number of specific actions or
tasks. It's a good idea to make a plan for how you'll accomplish this.

Create your plan in a format that works for you. It should include the
following:
A time frame - how long it will take to complete a task, as well as start and
end dates
Actions - specify the individual actions as precisely as possible
Responsibilities - assign accountability for each action so that everyone
understands exactly what you expect of them and who is responsible for
ensuring the work is completed
Resources - list the budget, personnel, or supplies required to complete each
action.
A desired outcome - describe how you will know when the action is
complete.

After you've created your plan, you should consider updating your overall
business plan.

Analyze the outcomes

Establishing how you will measure the outcomes you desire may be as
simple as checking that you have completed an activity.

Larger goals may necessitate a more complex measurement process, such as

increasing profit by a certain percentage or gaining a certain number of new
clients. Setting points to measure success as you work on these types of
goals can also be beneficial. This will assist you in staying on track with
your plan. Consider how frequently you want to assess your company's
progress. This can also assist you in setting new goals on a regular basis.

Entrepreneurs frequently struggle to grasp the concept of business model,

which may appear abstract or technical. It can be broken down into two
parts: how the company intends to generate sales revenue and the
operational factors that will allow it to achieve and maintain profitability. As
a company moves beyond the startup stage, the model frequently changes
due to new opportunities, new competitive threats, or simply because the
company learns more about what its customers truly require.

Flaws in the Original Model

Designing a business model is one of the first tasks for a startup company.
Many times, this is done with little knowledge of the market in which the
company will operate; the management team may even be unsure that the
target customers will be willing to buy the product. This initial business
model may be flawed, and changes must be made in order for the company
to generate sales momentum.

Value Proposition Modification

The collective benefits that customers receive from using a product or

service are referred to as the value proposition. The greater the customer
perceives value, the more likely he will choose to make a purchase.
Companies do not always know what their target customers value the most.
A restaurant may begin with the value proposition of offering the cheapest
meals in its food category, only to discover that what its customers really
want is quick service for takeout orders at noon or after work. The business
model will then be modified to focus on increasing kitchen production
efficiency and decreasing food preparation time. Meal prices may rise under
the new model.

New Revenue Prospects

The business model of the company specifies the target customer groups.
Marketing strategies are then developed in order to reach these groups and
persuade them to buy from the company. As the company's model proves to
be successful, new revenue opportunities frequently emerge. Management
discovers that the products or services developed for one group may also be
beneficial to the other groups. The business model has been modified and
expanded to include the new markets that the company plans to enter.

Alteration in the Competitive Environment

A business model is intended to assist a company in gaining a competitive

advantage. Competitors respond by developing their own models in order to
gain a competitive advantage. When an outdated model places a company in
an unfavourable competitive position, it must be replaced. This could be a
drastic change, such as discontinuing a product line that is no longer selling
well, or it could simply be a matter of adding elements to the value
proposition so that customers perceive they are getting more for their money
than they were previously.

Company Development
 The business model of a company typically changes as it progresses from
the startup stage to maturity. Companies may begin with a low-cost model to
attract their first customers. A new supermarket in an area may have a grand
opening period during which their prices are extremely low in order to entice
customers from their competitors to come and see what the new store has to
offer. If the new store offers a better value proposition in other areas, such as
a larger selection of meat and produce, the business model can gradually
shift to prices that are comparable to competitors rather than significantly
lower.

2. Which of the tools mentioned by Ashish Negi should be used for strategic
analysis?

Simple Tools that can be used are:

● SWOT analysis
● PESTEL
● Porter Five Forces Model
● Four Corners Model
● VRIO framework
● Porter’s Generic Strategies
● Business Model Canvas
● McKinsey 7 S Model
● Pareto Analysis
● B.C.G. Matrix

Complex Tools that can be used are:

● Business Motivation Model

● Porter’s Value Chain Analysis
● Value Grid Analysis
● Strategy Canvas