INDIAN MNCS IN A TURBULENT MARKET/INDUSTRY

By Group 14
Dr. Deepa Sahi (63) Dr. Shivangi Sain (45) Dr. Janardan Shetty (73) Mr. Shouryadipta Ghose(46)

 Turbulence in a market is the occurrence of Unpredictable and Swift changes in an organization's external or internal environments, or in an economy, that affects its performance. React to Change Anticipate Change Lead Change The main causes of turbulence in the healthcare market are: Structurally driven inflation Salary increases High interest rates Weakened rupee has resulted in ballooning medical costs. Economic slowdown and increasingly price-conscious customersit is getting more difficult to pass on price increases.

Turbulence??? Why is it happening?

Managing the Challenge of HighVelocity Change

Defensive

Reacting To Change

Introduce better products . Respond to unexpected Buyer need and Preferences Adjust to new government policies

React and respond As needed. Defend and protect the companys Positions.

Anticipating Change

Analyze Market globalization Research buyer needs, Preferences, and expectations Monitor new technological Development closely to Predict future path. Pioneer new and better Technologies Introduce innovative products That open new markets and Spur the condition of whole New industries. Seek to set industry standards

Plan ahead for expected future changes -add/adapt resources and competitive capabilities -Improve product line - Strengthen distribution Seize the offensive Be the agents of Industry changes; set the pace Influence the rules of the game Force rivals to follow.

Leading Change
Offensive

 It is an international Medical Technology company of Indian Origin, Established since 1997. Today it is the largest medical technology company of Indian Origin It is into Manufacturing medical technology and their Vision Innovation, Distribution and After-sales support. To be the largest and most respected and admired Medical Technology Company Its international branches are located in the USA, of Indian Origin with Global Presence promoting Cost Effective Finland, Sri Lanka, and The Middle East Medical Technology Products and Services. It has teamed up with IIT-Madras to set-up the Innovation Mission and Research Centre for further product development and Todesign. Innovate and Provide Medical Technology Products, Services and Solutions
to make Health care Affordable and Accessible to everyone across the Globe.

COMPANYS FOCUS
Imaging Sciences Cardiology and implantable devices Critical care and life support solutions

Ophthalmology
Dental implants and Equipment

Strategies applied by TRIVITRON

Collaboration with IIT-Chennai to form a Technological centre to improve R&D solutions. Joint venture with Hitachi-Aloka Japan in 2010 Biosystems Diagnostics Ltd. Is a Joint Venture formed with Spanish company Biosystems SA in 2003.

Strategic Investment in Kiran Medical Devices to strengthen operations in imaging segment

Alliance with Johnson Medical, Sweden, to manufacture high end modular OTs and pendants

Strategies contd
Has Innovative and Customizable installation technology which allows customers to select what to install in their hospital. Shows forward integration strategy as it is customer oriented and has a large customer base.

Scaling up of Innovation and Manufacturing operations through Organic and Inorganic Means. Substantial stake in a company to become the most coveted Contract Manufacturing Facility in India for US/ Europe MNCs

Existing Markets

Market penetration
14% market share in Ultrasound machines worldwide Has access to markets in Japanese, US, UK, Swedish, UAE, Finland, Spain Is Indias largest MNC in Medical devices

Ansoff's Matrix

New Markets

Existing Products

New Products

Moves and Strategies

Initial fresh actions Strategic every few partnerships months
Respond quickly with moves of the rivals Keep the companys products and services fresh

SWOT ANALYSIS
Strength
R&D innovation Access and Affordability Trading company to manufacturing brand Strong entrepreneur Industry growth from 1500 crores to 25000 crores Customization

Weakness.
No support from govt. No quality regulators in med tech industry Cannot keep up with the distributors Company at a nascent stage

Opportunities
Raising of funds 100 million dollars for next phase of growth and development more of acquisitions Dental implants and devices 15 new factories to come up all throughout India Merger with the Medtronic Diasorin JV

Threats
Various competitors

Turbulent market
Changing needs of the customers New technologies Increased Custom duty

To go in hospital sector

Strategies in the last 2 years

Way ahead: Multinational company shares : invitro diagnostics and drug delivery devices Merger with U.S based MEDTRONIC inc. Strategic equity infusion Dental , vision and dialysis 100 million raised to fuel expansion plans 1/3rd of revenue from manufacturing services and international operations

Yearly revenue of rs
1000 cr

Innovation and
engineering

Making its global presence felt Company market shares increased 3rd largest in India by understanding customers

Fueling up growth
Increasing their

market share globally

Diasorin Jv Wants to have more

than 2/3rd market share

Hospital sector