In 2008, the acquisition of General Healthcare Group (GHG) in the UK Netcare Limited (Netcare) was from a predominantly South African operation driven in one of the largest private hospital operator groups in the world. One of the main long-term objectives of Netcare was to deliver innovative, quality healthcare solutions for patients in all continents. Current South African parliamentary legislation had introduced the potential for regulated prices and collective bargaining in medical centers … Read more »

In 2008, the acquisition of General Healthcare Group (GHG) in the UK Netcare Limited (Netcare) was from a predominantly South African operation driven in one of the largest private hospital operator groups in the world. One of the main long-term objectives of Netcare was to deliver innovative, quality healthcare solutions for patients in all continents. Current South African parliamentary legislation had introduced the potential for regulated prices and collective bargaining in medical centers that could change the structure of the industry and may affect Netcare strategy. When acquiring home would always be subject to strict control by antitrust authorities, Netcare asked what the impact of the global takeover would have on the execution of its strategy. What lessons from the GHG acquisition could be learned, how can these lessons be used for further international growth, and what would be best suited to continent expansion? The case demonstrates the international expansion strategy of Netcare and shows the challenges. Within the emerging market The ability to overcome these challenges is the basis for a competitive advantage when entering developed markets.
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from
Saul Klein,
Albert Wocke
Source: Ivey Publishing
22 pages.
Publication Date: Apr 29, 2009. Prod #: 909M05-PDF-ENG
Netcare’s international expansion HBR case solution