Dissertation Relationship Marketing in Health Care Industry

Dissertation
A Critical Evaluation of Relationship Marketing in
Health Care Industry: A Case Study on Dhirubhai Kokilaben
Ambani Hospital
Type of Documents : Dissertation
No of Words : 21,000
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A
CRITICAL EVALUTION OF RELATIONSHIP MARKETING IN HEALTH
CARE INDUSTRY: A CASE STUDY ON DHIRUBHAI KOKILABEN
AMBANI HOSPITAL MUMBAI, INDIA
KCB ID:
A MANAGEMENT PROJECT SUBMITTED IN PARTIAL
FULFILMENT OF THE
REQUIREMENTS FOR THE DEGREE OF
MASTERS IN BUSSINESS ADMINISTRATION-HEALTHCARE

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ACKNOWLEDGEMENT
I am highly obliged for the assistance given to me during the completion of my dissertation. I want to thank
my instructor, who provided me the opportunity to conduct this dissertation and guided me at every step of
the dissertation. Additionally I also want to thank my team members who helped me in the collection and
analysis of data, for research in order to have relevant results for the dissertation.

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ABSTRACT
Within the health care sector context, relationship marketing is very important part for the success of the
organization and for retaining its clients. Relationship marketing is an approach intended to look after
customer long-term engagement, loyalty and relations; it aims at developing strong loyal customers by
offering correct and direct information by having open communication with them, therefore proper
relationship marketing strategies and communication strategies should be used for the development and
improvement of the health sector.
This study sought to evaluate the role of relationshipmarketingin health care sector incontext
with the Mumbai health care organization, Kokilaben Dhirubhai Ambani hospital, the study specifically
aims:
To analyze the benefits of relationshipmarketinginthe healthcare sector
To review criticallythe literatureof the researchassociated to relationshipmarketing.
To evaluate criticallythe significance of relationships marketingstrategyinthe healthcare industry in
context with Kokilaben Dhirubhai Ambani hospital.
To offer a significant recommendation for healthcare industry in India by which they can improve their
efficiency and quality by implementing the relationship marketing.
This paper presents research of relationship marketing in the industry of health care: A Case Study of
Kokilaben Dhirubhai Ambani Hospital Mumbai. Analyzed findings are presented in accordance with a
rigorous sampling frame of 50 respondents through questionnaires.
The paper concludes by suggestingmethods for further improvement of the relationshipmarketingin
Kokilaben Dhirubhai Ambani Hospital.

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TABLE OF CONTENTS
CHAPTER 1 – INTRODUCTION..............................................................................................................1
1.1. Health...................................................................................................................................2
1.2. Health Care.........................................................................................................................3
1.3. Health Care Industry........................................................................................................3
1.4. Relationship Marketing ..................................................................................................4
1.5. Relationship Marketing in Health Care Sector.......................................................5
1.6. Background of the Organization...................................................................................6
1.7. Context of Research........................................................................................................8
1.8. Significance of the Research......................................................................................... 8
1.9. Aim of the Research........................................................................................................ 9
1.10. Objectives of the Research.........................................................................................9
1.11. Research Questions...................................................................................................... 9
1.12. The Structure of the Dissertation .............................................................................9
CHAPTER 2 – LITERATURE REVIEW.................................................................................................. 12
2.1. Introduction to this Chapter ........................................................................................12
2.2. Relationship Marketing ................................................................................................12
2.3. Relationship Marketing in Hospital Sector............................................................16
2.3.1. Types of Relationship Marketing Practices.....................................................18
2.4. Factors driving the growth of Relationship marketing in Health care industry 21

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2.5. Necessary Conditions for Relationship Marketing ................................... 24
2.6. Benefits of Relationship Marketing.......................................................... 25
2.6.1. Enhancement of Various Aspects through Relationship Marketing ... 26
2.6.2. General benefits from the relationship marketing............................. 27
2.7. Impact of Relationship activities on healthcare performance.................. 29
2.7.1. Three Major Changes in the Health Care Industry ............................. 31
2.8. Kokilaben Dhirubhai Ambani Hospital ..................................................... 31
2.9. Relationship Marketing in Kokilaben Dhirubhai Ambani Hospitals .......... 32
2.10. Execution of Relationship Marketing.................................................... 34
2.10.1. Ways of Executing Relationship Marketing........................................ 34
2.11. Successful Techniques of Relationship Marketing ................................ 38
2.12. Summary of Literature Review ............................................................. 40
CHAPTER 3 – RESEARCH METHODOLOGY......................................................................... 1
3.1. Introduction to this Chapter .................................................................... 44
3.2. Research Philosophy................................................................................ 45
3.3. Research Justification .............................................................................. 47
3.4. Research Approach.................................................................................. 47
3.5. Type of Research ..................................................................................... 47
3.6. Data collection methods.......................................................................... 48
3.7. Sampling.................................................................................................. 49

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3.8. Data Analysis ........................................................................................... 50
3.9. Validity and Reliability...................................................................................................50
3.10. Limitations of the research...................................................................................... 51
3.11. Ethical considerations and issues ..........................................................................51
CHAPTER 4 – DATA ANALYSIS..........................................................................................................52
4.1 Introduction to this Chapter........................................................................................ 52
4.2. Thematic Analysis........................................................................................................... 52
4.3. Quantitative Analysis .....................................................................................................59
4.4. Summary of Data Analysis............................................................................................66
CHAPTER 5 – CONCLUSION AND RECOMMENDATIONS................................................................... 67
5.1 Introduction to this Chapter..........................................................................................67
5.2. Conclusion........................................................................................................................ 67
5.3. Recommendations ..........................................................................................................70
CHAPTER 6 – REFLECTIVE STATEMENT.............................................................................................75
REFERENCES....................................................................................................................................... 77
APPENDIX I 91

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LIST OF FIGURES ANDTABLES
Figure 4.2.1: Goals and Mission of Kokilaben Dhirubhai Ambani Hospital…………43
Figure 4.2.2: Client Relationship Culture……………………………..……………………...…...44
Figure 4.2.3: Effectiveness of Relationship Marketing Strategies…..………………..…45
Figure 4.2.4: Benefits of implementing relationship marketing…………………………46
Figure 4.2.5: Success ratio of current customer relationship marketing strategy..47
Figure 4.2.6: Satisfaction rate of the relationship marketing strategies…………….48

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CHAPTER 1 –INTRODUCTION
Relationship marketing refers to the study of the economic relationship along with the social strap
and it focuses on maintaining long term profitable relationship with the customers. Relationship marketing
came into existence in the early period of 90’s that has drawn the needs of the direct relationship with the
clients and the service providers. The foremost aim and goal of relationship marketing is to maintain long
term relationship with the clients so that the clients don’t switch to the competitors.
Relationship marketing includes various strategies which not only help in improving the relationship
with customers but also in providing them unique benefits which other organizations do not offer
(Christopher, Payne and Ballantyne, 2012). The successful implementation of relationship marketing
strategies results in attracting new customers and in retaining existing ones.
The dimensions of relationship marketing have changed over a period of time. Earlier simple tools
such as post cards, telephone etc were used to maintain relationship with the customers but with the advent of
technology and latest innovations, managing customer relationship has become much more detailed and
tedious job(Gummesson, 2012). These days variety of techniques such as e-mail, telephones, special loyalty
cards etc. are being used to maintain long term relationship with customers.
For standing out in the health care industry special care and services should be provided so that the
satisfaction level of the clients can be increased and better care of patients can be done.

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In the modernerathe business is so giant and complexthat the individuals has no time to spend on
others, but it is very important to maintain relationship between the employees and the management.
Therefore it has become very important for the organization to maintain relationship with the stake
holders inorder to lead in an industry and compete withits competitor. Hence relationship marketing has
become a very important tool for the health care industry.
The main and foremost objective of the research report is based on how relationship marketing
can make a difference, in a healthcare industry and how it can prove to be an advantage for an health care
organization for competing with its competitors.
The idea of relationshipmarketingis more prevalent in the service sector industry where customers are
considered as the whole and soul for the organizations. In hospitals the concept of relationship marketing is
relatively new and requires special measures to make it adaptable to the industry. In this research report
various strategies of relationship marketing are studied and understood in context of Kokilaben Dhirubhai
Ambani hospital. The report analyzes various concepts of relationship marketing and how it could be
successfullyimplementedinthe health care sector. It also includes understanding the steps which are required
to implement effectively a relationship marketing strategy.

Dissertation Relationship Marketing in Health Care Industry

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