BUSINESS STRATEGY TO CAPTURE THE OPPORTUNITIES IN THE MEDICAL INDUSTRY (CASE STUDY: ANALYSIS OF JOINT VENTURE BETWEEN C-GEN MEDICAL AND CHAS-NA HOSPITAL IN SANUR BALI)

• Main Author: Minarni Paulina S, Elena
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/77449
• Institution: Institut Teknologi Bandung

This research study explores the business opportunities available to C-GEN Medical and Chas-Na Hospital within the healthcare industry, examining their chances of success based on various factors such as market conditions, product viability, pricing strategy, overall strategy, and financial considerations. Furthermore, the study investigates the financial resources that can be utilized to finance these business endeavours. The findings highlight the significance of collaboration in the form of a joint venture, specifically establishing a laboratory for molecular diagnostics, combined with a steadfast commitment to scientific excellence. This strategic approach places both companies at the forefront of diagnostic innovation, facilitating personalized medicine and improved patient outcomes. In the context of the healthcare industry, this research study delves into the investigation of business opportunities for C-GEN Medical and Chas-Na Hospital. The aim is to assess the likelihood of success by evaluating multiple elements, including market conditions, product viability, pricing strategy, overall strategy, and financial considerations. Additionally, the study examines the available financial resources that can be employed to finance these business endeavours. The findings emphasize the significance of a collaborative approach in the form of a joint venture, which involves establishing a laboratory for molecular diagnostics. This collaborative strategy, coupled with an unwavering commitment to scientific excellence, enables both companies to position themselves as pioneers in diagnostic innovation, thereby facilitating personalized medicine and improved patient outcomes. The analysis of market trends encompasses an assessment of various factors, including market conditions, product viability, pricing strategy, overall strategy, and financial elements. This comprehensive evaluation reveals that the proposed venture is not only feasible but also holds a high probability of success within the healthcare industry. In terms of financial considerations, the study explores two potential options: borrowing and equity financing. In this particular scenario, borrowing emerges as the preferred choice due to the prevalent prioritization of borrowing among firms, driven by a multitude of reasons. By opting for borrowing over equity financing, businesses can retain ownership and maintain managerial control without diluting their ownership interest. Moreover, interest payments on borrowed capital are tax-deductible, providing businesses with tax advantages that are absent in equity financing. The borrowing option also imposes explicit repayment obligations, thereby improving predictability in cash flow management. Debt financing allows firms to leverage their current capital and assets, thus maximizing the potential return on investment. Furthermore, compared to equity financing, obtaining borrowed funds is characterized by a more streamlined and expedient process. By sharing the risk with lenders, businesses can successfully manage their risk exposure. These factors collectively position borrowing as an enticing option for organizations seeking capital while retaining control, benefiting from tax advantages, mitigating risk, and ensuring prompt access to funds. In conclusion, the research study supports the premise that collaboration, specifically through a joint venture, accompanied by a steadfast commitment to scientific excellence, presents significant financial potential within the healthcare industry for both C-GEN Medical and Chas-Na Hospital. The market analysis reveals favourable market trends, product viability, pricing strategy, overall strategy, and financial elements, collectively indicating the feasibility of success. Opting for borrowing as the preferred financing option aligns with the prevailing logic employed by firms aiming to retain ownership, capitalize on tax benefits, effectively manage cash flow, leverage existing assets, and streamline the financing process. By adopting this strategic approach, C-GEN Medical and Chas-Na Hospital can strategically position themselves to capitalize on market opportunities, foster diagnostic innovation, and contribute to the advancement of personalized medicine, ultimately leading to improved patient outcomes.