Bumrungrad and Global Services Marketing *

Abstract:

The case discusses the healthcare services marketing strategy of Thailand-based Bumrungrad Hospital Public Company Limited (Bumrungrad), the largest privately managed hospital in Southeast Asia. From a significantly adverse financial situation in mid-1997 due to the Southeast Asian currency crisis, Bumrungrad has emerged as a market leader in the healthcare industry in Southeast Asia. The case discusses how Bumrungrad was able to overcome its problems by promoting its healthcare services globally. It covers in length the service experience provided to Bumrungrad's customers. Finally, the case describes the new initiatives taken by Bumrungrad to expand its healthcare services operations and the challenges ahead of it in early 2004.

Issues: » Bumrungrad's global healthcare services strategy. How should the company implement its global expansion strategy? Will the company be able to replicate the same customer experience in its global operations? » Which business segments must the company focus-upon to drive growth in future?

Questions for Discussion:

1. Bumrungrad has emerged as the leading privately managed hospital in Southeast Asia. Comment on Bumrungrad's strategy of wooing foreign patients. How did the company promote its services to foreign customers? Explain.
2. In a service business, providing the best customer experience is the key to success. In the light of this statement, identify the distinctive characteristics of the healthcare services offered by Bumrungrad. Study and comment on the services marketing mix of Bumrungrad.
3. Bumrungrad has reportedly improved its financial performance significantly over the past 4-5 years. Explore the relationships between the services marketing variables like customer satisfaction, quality of service and increased productivity, and the overall profitability of Bumrungrad.
4. In early 2004, Bumrungrad faces fierce competition from local as well as foreign healthcare companies from nearby countries. Conduct a SWOT (strengths, weaknesses, opportunities and threats) analysis of Bumrungrad, and comment on its competitive position in 2004. What measures must Bumrungrad take to retain its leadership position in the future?

Key words:
Healthcare services, marketing strategy, Thailand, Bumrungrad Hospital Public Company Limited, privately managed, Southeast Asia, Southeast Asian, currency crisis, market leader, healthcare industry

*Note : This case is a simplified version of a longer case study, and is intended for learners for whom English is a foreign language. The longer version of this case study (MKTG091) is available at: http://www.icmrindia.org/casestudies/catalogue/Marketing/MKTG091.htm