Fuda Cancer Hospital – Development of Private Hospitals in China Harvard Case Solution & Analysis

Fuda Cancer Hospital is an early private organization, specialized cancer hospital in China. In eleven years, it's grown from a little-known private hospital to a well-known, specialized cancer hospital that's almost 400 beds and attracts patients from more than 70 countries and areas. As China's healthcare care has for ages been controlled by public hospitals, Fuda Cancer Hospital was able to endure and grow by pursuing a distinction-oriented strategy along with a modern hospital management system.

The hospital conforms to the strategy of "differentiated development" in the following facets: Patient placement - therapy of cancer in central and advanced stage; Market placement - Mainly overseas cancer patients in early stage Service; notion positioning - patient-centered, etc. To further expand operation, Fuda Cancer Hospital began to make preparations for IPO in 2011, intending to make use of the raised funds for hospital move and technical reform objectives, scientific investigation and training center construction projects, and brand and market system infrastructure jobs. However, the hospital is faced with numerous drawbacks in its endeavor to go public.

Additionally, since the national government has revoked policy limitations on private investment in the medical market, many listed companies have invested in private hospitals, and Fuda Cancer Hospital will be confronted with tough competition. Nonetheless, the IPO market in China was frozen for nearly two years and Fuda experienced major roadblocks in its IPO journey.

This is just an excerpt. This case is about INNOVATION & ENTREPRENEURSHIP

PUBLICATION DATE: June 23, 2015 PRODUCT #: TU0084-PDF-ENG

 

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