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STUDY OF HEALTHCARE FACILITIES AND ACCESS TO

HEALTHCARE IN BADSHAHIBAGH AND NEAR VILLAGES

Md Kashif Alam
(GU14R0108)

Under the guidance of


(Prof. Swapnarag swain sir)

Project submitted in partial fulfillment for the award of the degree


Bachelor of Business Administration (BBA)

At
The Glocal University
(Delhi Yamunotri marg, Mirzapur Pole, Saharanpur-247001)
Acknowledgment
As far as researches are becoming more advanced in the field of healthcare
industry, new inventions are increasing the betterment of life as well as the scope
of healthcare industry in India. Increasing scopes are attracting more investors to
invest in healthcare industry but due to electricity and road facility they are
diverting towards urban areas rather to provide facilities in rural areas.
The objective behind this project is to get partial fulfillment for the award of the
degree Bachelor of Business Administration as well as gathering information in the
field of healthcare industry and its impact over rural areas.
World Bank reported in 2014, around 70% of people lives in rural areas so scope
of healthcare industry is more in rural areas as compare to the urban areas. In such
a scenario those investors who are looking for stablishing a hospital or providing
such kind of facility in rural areas (specially for glocal medical school) then what
will be the chances to become successful, what will be challenges they can face
during operation that I have considered for my project and These challenges need
more attention to come up over it thats why I have conducted a survey regarding
all these kind of queries to make it more clear. The very first chapter of this project
includes introduction that describe all the information regarding scope of
healthcare industry in India, market size, investment, govt. initiatives and etc. and
the second chapter is all focused on data analysis and data representation so that it
could be more elaborative for readers in this section.
The project would not have seen the light of the day without the guidance and
leadership of my concerned faculty prof. Swapnarag swain sir to whom I owe my
sincere and humble thanks, for providing me with an opportunity in bringing out
this topic.

Md Kashif Alam
(Student at Glocal University)
Table of Content
1. Introduction
2. Market Size
3. Strong growth in healthcare expenditure
4. Investments
5. Government Initiatives
6. Road Ahead
7. Data Analysis and Presentation
8. Conclusion
9. Suggestions and Recommendation

Introduction
Healthcare has become one of Indias largest sectors - both in terms of revenue and
employment. Healthcare comprises hospitals, medical devices, clinical trials,
outsourcing, telemedicine, medical tourism, health insurance and medical
equipment. The Indian healthcare sector is growing at a brisk pace due to its
strengthening coverage, services and increasing expenditure by public as well
private players.
Indian healthcare delivery system is categorized into two major components -
public and private. The Government, i.e. public healthcare system comprises
limited secondary and tertiary care institutions in key cities and focuses on
providing basic healthcare facilities in the form of primary healthcare centers
(PHCs) in rural areas. The private sector provides majority of secondary, tertiary
and quaternary care institutions with a major concentration in metros, tier I and tier
II cities.

India's competitive advantage lies in its large pool of well-trained medical


professionals. India is also cost competitive compared to its peers in Asia and
Western countries. The cost of surgery in India is about one-tenth of that in the US
or Western Europe.

Market Size

The overall Indian healthcare market today is worth US$ 100 billion and is
expected to grow to US$ 280 billion by 2020, a Compound Annual Growth Rate
(CAGR) of 22.9 per cent. Healthcare delivery, which includes hospitals, nursing
homes and diagnostics centers, and pharmaceuticals, constitutes 65 percent of the
overall market. The Healthcare Information Technology (IT) market which is
valued at US$ 1 billion currently is expected to grow 1.5 times by 2020.

Deloitte Touche Tohmatsu India has predicted that with increased digital adoption,
the Indian healthcare market, which is worth US$ 100 billion, will likely grow at a
CAGR of 23 per cent to US$ 280 billion by 2020.

Over 80 per cent of the antiretroviral drugs used globally to combat AIDS
(Acquired Immuno Deficiency Syndrome) are supplied by Indian pharmaceutical
firms^.

There is a significant scope for enhancing healthcare services considering that


healthcare spending as a percentage of Gross Domestic Product (GDP) is rising.
Rural India, which accounts for over 70 per cent of the population, is set to emerge
as a potential demand source.

India requires 600,000 to 700,000 additional beds over the next five to six years,
indicative of an investment opportunity of US$ 25-30 billion. Given this demand
for capital, the number of transactions in the healthcare space is expected to
witness an increase in near future. The average investment size by private equity
funds in healthcare chains has already increased to US$ 20-30 million from US$ 5-
15 million

A total of 3,598 hospitals and 25,723 dispensaries across the country offer AYUSH
(Ayurveda, Yoga & Naturopathy, Unani, Siddha and Homoeopathy) treatment, thus
ensuring availability of alternative medicine and treatment to the people.

The Indian medical tourism industry is pegged at US$ 3 billion per annum, with
tourist arrivals estimated at 230,000. The Indian medical tourism industry is
expected to reach US$ 6 billion by 2018, with the number of people arriving in the
country for medical treatment set to double over the next four years. With greater
number of hospitals getting accredited and receiving recognition, and greater
awareness on the need to develop their quality to meet international standards,
Kerala aims to become India's healthcare hub in five years.

Strong growth in healthcare expenditure

Healthcare industry is growing at a tremendous pace owing to its strengthening coverage,


services and increasing expenditure by public as well private players.

During 2008-20, the market is expected to record a CAGR of 16.5 per cent.

The total industry size is expected to touch US$ 160 billion by 2017 and US$ 280 billion by
2020.

As per the Ministry of Health, development of 50 technologies has been targeted in the FY16,
for the treatment of disease like Cancer and TB.

Investments
The hospital and diagnostic centers attracted Foreign Direct Investment (FDI)
worth US$ 3.59 billion between April 2000 and March 2016, according to data
released by the Department of Industrial Policy and Promotion (DIPP).

Some of the major investments in the Indian healthcare industry are as follows:

Cure Fit, a healthcare platform started by has raised US$ 15 million from
Accel Partners, IDG Ventures and Kalaari Capital on the day of its inception.

Aster DM Healthcare, one of the leading healthcare group headquartered in


Dubai, plans to invest Rs 600 crore (US$ 88.94 million) in various Kerala-
based healthcare projects over the next three years.

Aster DM Healthcare, a Dubai-based healthcare conglomerate, has acquired


25 per cent stake in Ramesh Hospitals, a multispecialty chain headquartered
in Vijayawada, in a deal worth Rs 110 crore (US$ 16.31 million).

Address Health, a primary healthcare network, has raised US$ 1.5 million in
series A round of funding led by Gray Matters Capital, which will be used to
expand its model of school-based neighbourhood clinics and school health
programmes in Bengaluru.

PurpleHealth.com, a digital health and wellness platform, which aims to


provide a seamless interface to consumers to choose medical practitioners,
has raised US$ 100,000 from technology investor Katabole Technology
Venture.

Versante Software Technologies, an Indian subsidiary of US-based IT


consulting and software engineering services company Versante
Technologies LLC, is in the process of raising US$ 1 million in its first
round of external funding by March 2016, the proceeds of which would be
used for initial promotion, and pan-India marketing and distribution of hand-
held and portable patient care devices.

Abraaj Group, a Dubai based Private Equity (PE) investor, is set to buy a
majority stake in an Indian firm Quality CARE India Ltd, which runs CARE
Hospitals.
Qatar-based Non-resident Indians (NRI) including medical professionals
and businessmen, are planning to set up a huge world-class healthcare
project in Kochi worth Rs 1,300 crore (US$ 192.71 million)

American multinational technology and consulting corporation, IBM has


announced that Manipal Hospitals corporate and teaching facilities will
adopt Watson for Oncology, a cognitive computing platform trained by
Memorial Sloan-Kettering that analyses data to identify evidence-based
treatment options, helping oncologists to provide cancer patients with
individualised healthcare.

Apollo Hospitals Enterprise (AHEL) plans to add another 2,000 beds over
the next two financial years, at a cost of around Rs 1,500 crore (US$ 222.36
million).

Malaysia-based IHH Healthcare Berhad has agreed to buy 73.4 per cent
stake in Global Hospitals Group, India's fourth-largest healthcare network,
for Rs 1,284 crore US$ 192.84 million.

Temasek Holdings Pte Limited acquired the entire 17.74 per cent stake of
Punj Lloyd Limited in Global Health Private Limited, which owns and
operates the Medanta Super Specialty Hospital in Gurgaon.

CDC, a UK based development finance institution, invested US$ 48 million


in Narayana Hrudayalaya, a multi-speciality healthcare provider. With this
investment, Narayana Health will expand affordable treatment in eastern,
central and western India.

Apollo Health and Lifestyle Limited (AHLL), a wholly-owned subsidiary of


Apollo Hospitals Enterprise, acquired Nova Specialty Hospitals at an
estimated cost of Rs 135-145 crore (US$ 20-21 million).

IHH Healthcare Berhad acquired a controlling 51 per cent equity stake in


Hyderabad-based Continental Hospitals Limited for about approximately
US$ 45.4 million.

Sanofi-Synthelabo (India) Limited invested Rs 90 crore (US$ 13.34 million)


in Apollo Sugar Clinics Limited (ASCL), a unit of its subsidiary Apollo
Health and Lifestyle Limited.
Carlyle Group acquired a stake in Metropolis Healthcare Limited, an
operator of pathology laboratories in India, for an undisclosed sum.

San Francisco-based Fitbit Inc., a fitness-tracking device maker, has


launched its fitness wristbands across 300 towns in India and expects the
country to be among its top five markets in next two years.

Home healthcare service provider Portea Medical has raised Rs 247 crore
(US$ 36.62 million) in Series-B funding from investors including Accel
Partners, International Finance Corporation, Qualcomm Ventures and
Ventureast.

Practo Technologies Pvt. Ltd, Indias largest online doctor discovery


company, has acquired hospital information management solution provider
Insta Health Solutions for US$ 12 million which will help Practo get access
to more than 500 hospitals across 15 countries.

Attune Technologies Private Limited, a Chennai-based healthcare


technology firm, has raised US$ 10 million in a Series B funding from
Qualcomm Ventures and Norwest Venture Partners in order to expand its
digital healthcare solutions from the current 200 hospitals and laboratories to
25,000 such facilities globally.

Pluss, a Gurgaon based on-demand medicine and healthcare products


delivery service start-up, has raised US$ 1 million in pre-Series A funding
from IDG Ventures, India; M & S partners, Singapore and Powerhouse
Ventures, US. The company would use the funding to upgrade its technology
and expand presence in five cities.

Government Initiatives

India's universal health plan that aims to offer guaranteed benefits to a sixth of the
world's population will cost an estimated Rs 1.6 trillion (US$ 23.72 billion) over
the next four years.

Some of the major initiatives taken by the Government of India to promote Indian
healthcare industry are as follows:

The Ministry of Science & Technology has launched the innovative and
indigenously developed fecal incontinence management system Qora',
which was developed by M/s. Consure Medical under Department of
Biotechnology (DBT), Ministry of Science & Technology supported Bio
design Programme.

The Union Cabinet has approved signing of an agreement with the World
Health Organisation (WHO) under which WHO will develop technical
documents on traditional medicines which is expected to lead to better
acceptance of Indian systems of medicines at an international level.

The NITI Aayog (National Institute for Transforming India) seeks to bring
reforms in Indias public health system like outsourcing primary healthcare
to private doctors and promoting competition between government and
private hospitals at the secondary level.

Provisions made in the Union Budget 2016-17:

National Dialysis Services Programme to be initiated to provide dialysis


services in all district hospitals to accommodate the increasing demand for
dialysis session

A new health protection scheme for health cover upto 1 lakh per family.

Setting up 3,000 medical stores across the country to provide quality


medicines at affordable prices.

Senior citizens will get additional healthcare cover of Rs 30,000 (US$ 441)
under the new scheme

Pradhan Mantri Jan Aushadhi Yojana to be strengthened, 3000 generic drug


store to be opened

Government of West Bengal has introduced G1 Digital Dispensary, which


aims to provide people from rural areas access to primary healthcare
services.

A unique initiative for healthcare 'Sehat' (Social Endeavour for Health and
Telemedicine) has been launched at a government run Common Service
Centre (CSC) to empower rural citizens by providing access to information,
knowledge, skills and other services in various sectors through the
intervention of digital technologies and fulfilling the vision of a Digital
India.

India and Sweden celebrated five years of Memorandum of Understanding


(MoU). The cooperation in healthcare between India and Sweden will help
in filling gaps in research and innovative technology to aid provisioning of
quality healthcare.

Mr J P Nadda, Union Minister for Health & Family Welfare, Government of


India has launched the National Deworming initiative aimed to protect more
than 24 crore children in the ages of 1-19 years from intestinal worms, on
the eve of the National Deworming Day.

Under the National Health Assurance Mission, Prime Minister Mr Narendra


Modi's government would provide all citizens with free drugs and diagnostic
treatment, as well as insurance cover to treat serious ailments.

All the government hospitals in Andhra Pradesh would get a facelift with a
cost of Rs 45 crore (US$ 6.67 million), besides the establishment of 1,000
generic medical shops across the State in the next few months.

Mission Indradhanush launched by Mr JP Nadda aims to immunise children


against seven vaccine preventable diseases namely diphtheria, whooping
cough, tetanus, polio, tuberculosis, measles and hepatitis B by 2020.
Government has set a target of 95 per cent immunisation cover by end of
2016.

The E-health initiative, which is a part of Digital India drive launched by


Prime Minister Mr Narendra Modi, aims at providing effective and
economical healthcare services to all citizens. The programme aims to make
use of technology and portals to facilitate people maintain health records and
book online appointments with various departments of different hospitals
using eKYC data of Aadhaar number.

Road Ahead

India is a land full of opportunities for players in the medical devices industry. The
country has also become one of the leading destinations for high-end diagnostic
services with tremendous capital investment for advanced diagnostic facilities, thus
catering to a greater proportion of population. Besides, Indian medical service
consumers have become more conscious towards their healthcare upkeep.

India's competitive advantage also lies in the increased success rate of Indian
companies in getting Abbreviated New Drug Application (ANDA) approvals. India
also offers vast opportunities in R&D as well as medical tourism. To sum up, there
are vast opportunities for investment in healthcare infrastructure in both urban and
rural India.

Data analysis

I have conducted a survey of 30 people in badshahibagh for getting the information


regarding how they access healthcare facility in such kind of rural areas and the
data of the respondents are given follows

Occupation

Occupation

4 3

9
10
4

Salaried employee Business Unemployed


Student Other

This chart
related to Occupation is presenting that most of the People are student and others
have their own business
Picture 1.1

*Out of 30 Respondent 33% are students, 30% have their own business, 13% unemployed and 13% other and 10% salaried employee

Income Level

Income level

19

0-2 2-5 5-10 >10

This
chart is showing that most of the people (63%) having 0-2 lacks and 2-5 lacks
(30%) income level it means they are having lower income level and its effect
living standard, most probably they would like cheaper product and service for
daily needs.
Picture 1.2

*Out of 30 Respondent 63% have 0-2 lack, 30% have 2-5 lack, and 7% have 5-10 lacks annual income.
Usually go when they sick

Most of the people (47%) go to clinic when they got sick and 40% of the people go
to Medical store when they sick and only 13% go to hospital it means lower
income level are forcing to get treatment from medical store and clinic which is
most cheaper as compare to selecting hospital for treatment.

Usually go when sick

4
12

14

Hospital Clinic Medical store

Picture 1.3

*Out of 30 Respondent 47% go to clinic, 40% go to medical store, and 13% go to hospital

How long it take to reach there

Out of 30 people 50% generally go vikasnagar for consulting a doctor which is


around 25-30KM away from the village and rest of the respondent generally take
medicines from medical store which is near to the home.

How long it take to reach there

15 15

0-5KM 5-10KM 10-15KM >15KM


Picture 1.4

*Out of 30 Respondent 50% go to 0-5KM and 50% like to go >15KM

Visited Hospital in past 6 month

Out of 30 People 63% Never visited hospital in the past 6 month and 23% visited
at once during the taking interview most of the people said that they go hospital
only in case of emergency.

Visited Hospital in past 6 month

31
7
19

Never Once Twice


Thrice Four-five More than five

Picture 1.5

*Out of 30 Respondent 63% never visited to Hospital, 23% Visited Once, 10% visited Twice, 3% Visited Four- five times
Visited clinic in past 6 month
Out of 30 Respondent 41% never visited and rest 59% have visited, at once (17%)
twice (21%), thrice (7%), four-five time (7%), more than five times (7%)
respectively.

Visited clinic in past 6 month

22
2
12
6
5

Never Once Twice


Thrice Four-five More than five
Picture 1.6

*Out of 30 Respondent 41% Never visited Clinic, 21% visited Twice, 17% visited at Once, 7% visited Thrice, 7% visited Four- Five, and 7%
visited More Than five times.

Visited Medical store in past 6 month


Out of 30 respondent 20% never visited medical store in 6 month whereas rest
80% visited respectively at once 20%, at twice 20%, at thrice 33% and four- five
time 7%

Visited Medical store in past 6 month

2 6
10
6
6

Never Once Twice


Thrice Four-five More than five

Picture 1.7

*Out of 30 Respondent 20% never visited clinic in past 6 month, 20% visited at Once, 20% visited at Twice, 33% visited Thrice, 7% visited
Four-five times

Treatment modality they prefer


Out of 30 respondent 80% prefer Allopathy medicine because of many reasons like
quick relief, easily available in village and etc.
Treatment Modality Prefer

3
3

24

Allopathy Ayurvedic Homeopathy

Picture 1.8

*Out of 30 Respondent 80% Allopathy, 10% Ayurvedic and 10% Homeopathy.

Spend monthly on medical problem

Spend monthly on medical problem

7
14
2

0-500 500-1000 1000-1500 1500-2000

Out of 30
Respondent 47% are spending 0-500, 23% spending 500-1000, 7% spending
1000-1500 and 23% are spending 1500-2000 monthly on medical problems.
Picture 1.9

*47% 0-500 monthly, 23% spending 500-1000 monthly, 7% spending 1000-1500 per month and 23% are spending 1500-2000 monthly.

Conclusion: The overall data is showing that lack of wealth is creating poor
impact over access to healthcare, at the same point of time less availability of
healthcare facility is the good sign for those who are looking to provide healthcare
facility in such kind of rural areas but before making such type of decision they
will have to consider providing facility at affordable price also because most of the
people have lower income level and they want every product and services at lowest
cost.
Suggestions and recommendation: if any investor want to establish their own
hospital or they have already established its a good sign for making growth in
coming few years but they must have need to focus on reducing cost because
providing better facility at affordable price need an organization to reduce their
cost first and this can be done by using money management and waste
management.
Bibliography: Some of the content have been taken from www.ibef.org.in for
detail please visit the website.

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