JD Health - Building a Full Ecosystem of Health Care and Health Management for China
| Case Code: BSTR651
Case Length: 13 Pages
Pub Date: 2023
Teaching Note: Available
Organization : JD Health
Industry : Healthcare and Services
Countries : China
Themes: Growth Strategy Platform Model, E-Business Strategy,HealthTech
Abstract Case Intro 1 Case Intro 2 Excerpts
Early Evolution of JD Health
JD.com forayed into the health industry by starting a pharmaceutical e-commerce business. It started the business by selling healthcare products online for the first time in the year 2013, marking an official step into the pharmaceutical retail business..
JD Health: Building The Healthcare Ecosystem
About 72.5 million people had made at least one purchase through JD Health’s platform by 2020. Although Alibaba Health generated less revenue, the platform enjoyed a larger user base due to Alibaba’s extensive ecosystem. In the year ended June 2020..
JD Health: Growth and Consolidation
JD Health had become the largest online healthcare platform in China by 2019, according to a report by Frost&Sullivan, a Silicon Valley-based research and consulting firm. As on September 30, 2020, the platform had over 65,000 doctors, including full-time doctors, who provided an average of over 90,000 medical consultations online on a daily basis. In the first half of 2020, the number of daily medical consultations on the platform was five times that of the same period in 2019..
Although it seemed that the time for online hospitals had arrived and online medical care and AI technology were supplementing and optimizing the traditional medical system, online hospitals failed to really take off in China. A fundamental problem holding back online hospitals was insurance (or the lack of it). Finally, although online hospitals had achieved some success in integrating online and offline medical care, online medical services in China had failed to bridge the digital divide, and patients still overwhelmingly preferred to make use of traditional hospitals..
Exhibit I: The Framework of HC 2030
Exhibit II: People’s Willingness to Use Digital Health Services
Exhibit III: JD Health’s Mission, Strategic Position, Brand Concept and Vision
Exhibit IV: JD Health Business
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