INTRODUCTION

• Provides a variety of services to support the healthcare

needs of a community or individuals.
• Classifies the different products it offers by sector
• As healthcare systems are continually changing their
service offerings, . A universally agreed-upon
classification of sectors does not exist, so a non-
exhaustive but inclusive and simplified classification of
broad sectors will be used in this exploration.
 Healthcare Industry Structure
The key sectors of healthcare industry can be broadly classified into following four sub-segments:

Healthcare Segment 1: Health care services and facilities:

Health care services and facilities subsector is comprised of many subsectors. The broad
classification includes:
• Hospitals
• Nursing and residential care facilities
• Ambulatory health care services.
• Medical Practitioners & Healthcare Professionals

Healthcare Segment 2: Medical devices, equipment, and hospital supplies manufacturers

Healthcare Segment 3: Medical insurance, medical services and managed care

Healthcare Segment 4: Pharmaceuticals & Related Segments

 Big Competitors
• Apollo Hospitals
• Thyrocare Technologies Limited
• Fortis Healthcare Limited
• DR Lal PathLab
• Max Healthcare
• Radiant Life medicines
• Path Kind
• Narayana Health
Along with that, Over the past few years, healthcare sector has witnessed an exponential
growth in the startup sector constituting ventures that are user-friendly and innovative.
Examples are:
Affordplan: A pre-payment savings platform for medical expenses. Patients and hospitals
can co-design pre-payment plans while keeping in view the patient’s medical and
financial situation.
Diabetacare: The first to introduce Smart Connected Glucometer, in 2014, as a part of the
IoT strategy to enable round the clock monitoring of patients suffering from Diabetes.
Healthi :A research partnership with the Government of India on the efficacy of chronic
disease prediction models.
Lybrate :An online doctor consultation platform which connects doctors and patients
through its health app and making them communicate using mobile phones.
eMediNexus: A content focused app that helps in keeping doctors updated with the
latest advancements and clinical cases in medicine so that they can improve their
knowledge and to take second opinions from other practitioners on the go thereby
reducing the need for the patient to be referred to an already overburdened doctor.
 GlaxoSmithKline plc (GSK)
• British multinational pharmaceutical company headquartered
in Brentford, London.
• Established in 2000 by a merger of Glaxo Wellcome and SmithKline
Beecham, GSK was the world's sixth largest pharmaceutical company
as of 2015, after Pfizer, Novartis, Merck, Hoffmann-La Roche and Sanofi.
• Emma Walmsley became CEO on 31 March 2017 and is the first female
CEO of the company.
Facilities
As of 2013 GSK had offices in over 115 countries and employed over
99,000 people, 12,500 in R&D. The company's single largest market is the
United States. Its US headquarters are in The Navy Yard, Philadelphia,
and Research Triangle Park, North Carolina; its consumer-products division
is in Moon Township, Pennsylvania.
RECENT PERFORMANCE

Group sales £30.8 billion, +2% AER, +5% CER

Pharmaceuticals sales £17.3 billion, flat AER, +2% CER;
Vaccines sales £5.9 billion, +14% AER, +16% CER;
Consumer Healthcare sales £7.7 billion, -1% AER, +2% CER
Total new Respiratory product sales £2.6 billion, +35% AER,
+38% CER
Total HIV sales £4.7 billion, +9% AER, +11% CER.
2018 results
2018 Growth Q4 2018 Growth
£m £% CER% £m £% CER%

Turnover 30,821 2 5 8,197 7 5

Total operating profit 5,483 34 43 1,554 >100 >100

Total earnings per share 73.7p >100 >100 24.7p >100 >100

Adjusted operating profit 8,745 2 6 2,196 8 4

Adjusted earnings per share 119.4p 7 12 31.2p 14 10

Net cash from operating activities 8,421 22 4,119 44

Free cash flow 5,692 63 3,317 83
CHALLENGES FACES BY HEALTHCARE INDUSTRY

Cybersecurity
Invoicing and Payment Processing
Patient Experience
Effective payment model
Big data
 CHALLENGES FACED BY GSK :
BREXIT
DEFAMATION
Allegations of off-label marketing, including for Avandia and the
asthma drug Advair, Lamictal for epilepsy and Zofran for nausea.
CONTROVERSIES

COMPETETION
GlaxoSmithKline holds 4.19% market share.
It faces huge competition from:
Pfizer Inc (5.6% market share)
Novartis (5.44% market share)
F Hoffmann-La Roche Ltd (4.69% market share)
Merck & Co Inc (4.44% market share)
Johnson & Johnson (J&J) (4.27% market share)
Sanofi (4.11% market share)
 Future prospects

1) 3 long term priorities: innovation, performance, trust.

2) Platform for improved operating performance & reshaped growth.

3) New focused global pharma & vaccine company with an R&D

approach based on science.

4) Creation of a new world leading consumer healthcare joint

venture (GSK-Pfizer).

5) Improved performance & increased value for shareholders.

6) Supports our priority of strengthing
pharma.

7) Creation of global leader in consumer

healthcare.

8) Proven integration capabilities through

GSK-Novatis joint venture.