Competitive Strategy of Alphapharm and Estia Health -myassignmenthelp

Question: Discuss about theCompetitive Strategy of Alphapharm and Estia Health. Answer: Industry: Pharmaceutical The pharmaceutical industry in Australia has witnessed an increasing competitive market in the recent years. This is due to the technological advancements witnessed in the world of medical sciences. Further, the increasing inspection from payers, the community and the regulatory bodies have also compelled the pharma industries to rethink their strategies and policies in order to survive. It is however, also true that the industry in Australia has witnessed great boon over the past few decades as investors beyond the country are also showing interest in the industry. In a recent survey by PwC, it was revealed that 45% of the people related to this industry consider the m-health and e-health are the potential competitive advantages that will benefit the industry in future. Company: Alphapharm Overview A generic drug manufacturing company based in Australia, Alphapharm is owned by the Mylan Pharmaceuticals of United States (Mylan.com.au, 2018). The company manufactures a variety of generic drugs that is exported to more than fifty countries across the globe. The company started operating in Australia in the year 1982 and has been among the top three pharma companies in the country. In fact, as per the reports of the Australian governments industry data, it is the biggest drug manufacturing and selling Company in the country with 20% share in the market (Industry.gov.au, 2018). Competitive strategy The company forms its strategies based on its three most important stakeholders that include the doctors, the pharmacists and the consumers. One of Alphapharms biggest strategies is its compliance with the policy of generic substitution (Mylan.com.au, 2018). The company is probably the only in Australia that supplies generic medicines to the people and upholds generic substitution. It follows the simple strategy to benefit all three of its stakeholders as mentioned. In case of the doctors, the company has a separate force that gives every detail about the generic substitution to the doctors thus helping them adapt to adopt this revolutionary idea. With regards to the pharmacists, Alphapharm delivers numerous value-added services to the pharmacies and that makes it the only company to do so. Lastly, the company has a separate and unqie strategy for its consumers. To being with, it is the only pharma company that advertises on all forms of media, be it television, print, radio or the s ocial media. The success of its competitive strategy is evident from its positioning in the ASX list of top pharma companies in the country. In addition, the acquisitions made by the company over the last few years including the latest in Mumbai, India prove its success. Industry: Aged care The aged care industry in Australia is abounding with opportunities for companies to cash in and do business. The need for this industry in Australia is rising each year as the countrys population is ageing. Many implications of this fact concern the Australian economy and its society. The government is aware of this fact and has made provisions for the systematic planning of providing home care and residential care for the aged population. However, the industry continues to waver in trajectories unchartered as the aged care providers face innumerable challenges as well as opportunities. Company: Estia Health Overview Estia Health (EHE) is an aged care provider based in Australia. It operates in places like Victoria, New South Wales, South Australia and Queensland. Established in 2005 as Estia, EHE specializes in providing residential services to the aged population that include everyday living, wellbeing and lifestyle, nutritious food and clinical healthcare (Estiahealth.com.au, 2018). The company performed significantly well in the financial year 2016 generating over 440 million dollars in revenues. It is currently headed by Norah Barlow as the Chief Executive Officer (CEO). It boasts of 69 facilities across 5,782 places. The company aims to expand its business in the coming years as the market opportunity for the industry continues to grow. Competitive strategy The main strategy of EHE is to acquire as many places as possible to expand its business and continue to provide quality services to the aged people. In its 2016 report, the company elaborated its plans of acquisition. It made a strategy to own 500 to 100 single sites across Australia in the coming year. Further, the company has strategized to acquire one medium and large sized firm within the period that ensures the accomplishment of its expansion strategy. In addition, it plans to modify more than 300 Brownfield and around 1000 Greenfields to open new branches. As part of its acquisition strategy, EHE struck deals with four leading aged care providers in Australia in 2016 and was successful. The company acquired Kennedy Healthcare in February that expanded its operating places by 21% (Theage.com.au, 2018). It led to the company boasting an addition of nearly 500 beds for its customers across the country, which was well above the forecast predicted by many experts. However, the acquisitions did not make much difference to the share prices as the company had expected. Therefore, it can be stated that the companys competitive strategy of acquisition has been largely successful in helping its expansion but it was not effective in raising its share value. Industry: Child Care The childcare sector in Australia is a booming industry that continues to provide investors with great opportunities to do business. This has in fact resulted in the rapidly increasing number of childcare providers within the country despite the presence of numerous other companies. In the 2017 financial year, the industry saw purchase of 76% of land for childcare centers. However, the industry faced a wavered flow of sales volumes in the past year with sales going down to 5.84% (Smh.com.au, 2018). Experts believe that despite the industrys declining figures, it continues to grow owing to increasing support from the government and the rise in peoples participation. Company: G8 Education Overview G8 education provides education facilities and quality care to children across Australia and Singapore. Based in Australia, the company was founded in 2007 with the mission to be the leading contributor of educational developmental child care facilities in Australasia (G8education.edu.au, 2018). Gary Carroll is the CEO of the company who was appointed the role in January 2017. In 2017, the company generated revenue of close to 800 million dollars that was about 20 million more than the previous year. In addition, it owned 516 centers across Australasia with more than 9,000 employees serving there (G8education.edu.au, 2018). Competitive strategy As part of its competitive business strategy, G8 focuses on acquisition, quality care and education, employees and community. The focus for this assignment however, is the companys strategy on quality care and education. With a view to increase its business within Australasia, G8 looks to aim at investing more in educational and care facilities to be provided to the children. In the year 2015, the company spent around 9 million dollars on bettering its childcare facilities within all its centers (Theaustralian.com.au, 2018). Further, the company looks to increase its workforce in order to attain the best team of expert educators. With a view to raise its stake, G8 also aims to make new partners. This would ensure a strong workforce thus raising the quality of care and education. Very recently, the company came into partnership with the Swinburne University of Technology that aims to give G8 employees the chance to earn a degree through the universitys training program (Swinburne.edu.au, 2018) This strategy has faired remarkably well for the company because parents have been given increased assurance that the education and care of their children are in the right hands. With a workforce adept in early childhood learning, it surely would help the company be ahead of the race in the coming years as well. It needs mentioning that G8 Education is one of Australias top childcare providers. References: Estia Health. (2018). Corporate profile. [online] Available at: https://www.estiahealth.com.au/investor-centre/corporate-profile [Accessed 13 Apr. 2018]. Estiahealth.com.au (2018). DELIVERING ON FY2020 STRATEGY, Estia Health (EHE). [online] Estiahealth.com.au. Available at: https://www.estiahealth.com.au/assets/media/files/Delivering%20on%20FY2020%20strategy(2).pdf [Accessed 13 Apr. 2018]. G8education.edu.au (2018). Company Overview - G8 Education. [online] G8 Education. Available at: https://g8education.edu.au/about-us/company-overview/ [Accessed 13 Apr. 2018]. G8education.edu.au (2018). G8 Education Investor Presentation. [online] G8education.edu.au. Available at: https://g8education.edu.au/wp-content/uploads/2013/09/260416-SGD-Bond-Roadshow-Investor-Presentation.pdf [Accessed 13 Apr. 2018]. Industry.gov.au (2018). Australian Pharmaceuticals Industry Data Card 2013. [online] Industry.gov.au. Available at: https://industry.gov.au/industry/IndustrySectors/PharmaceuticalsandHealthTechnologies/Pharmaceuticals/Pages/PharmaceuticalsIndustryDataCard.aspx [Accessed 13 Apr. 2018]. Mylan.com.au (2018). Mylan Seeing Is Believing. [online] Mylan.com.au. Available at: https://www.mylan.com.au/ [Accessed 13 Apr. 2018]. Mylan.com.au (2018). Mylan to Acquire Famy Care Businesses to Create a Leading Women's Health Care Franchise. [online] Mylan.com.au. Available at: https://www.mylan.com.au/en-au/news/press-releases/2015/123276 [Accessed 13 Apr. 2018]. Smh.com.au (2018). Australia's childcare sector grows up. [online] The Sydney Morning Herald. Available at: https://www.smh.com.au/business/companies/australias-childcare-sector-grows-up-20171116-gzmqht.html [Accessed 13 Apr. 2018]. Swinburne.edu.au (2018). New partnership aims to raise early childhood education workforce quality. [online] Swinburne.edu.au. Available at: https://www.swinburne.edu.au/news/latest-news/2018/02/new-partnership-aims-to-raise-early-childhood-education-workforce-quality.php [Accessed 13 Apr. 2018]. Theage.com.au (2018). Roll-up strategy sees Estia Health shake off weak debut. [online] The Age. Available at: https://www.theage.com.au/business/investments/rollup-strategy-sees-estia-health-shake-off-weak-debut-20150730-ginwqt.html [Accessed 13 Apr. 2018]. Theaustralian.com.au (2018). Value Investor: Lessons from G8 Education. [online] Theaustralian.com.au. Available at: https://www.theaustralian.com.au/business/business-spectator/value-investor-lessons-from-g8-education/news-story/dc080db0e7b12df0c95a08a5deb216cb [Accessed 13 Apr. 2018].