Wound Care Case Study
The buyers entered this market at a right time and maybe to late but based on the technology jump they are making it was perfect time. Inly problem being is health care plan act passed by Obama is hurting profits due to not getting the insurance money that they get from the past but are getting the minimum pay from the act. This has hurt hospitals, ER, and even private doctors. The act is great for the patience but for the business it hurt you lose money when you are saving lives and can’t pay for the new technology or equipment based on the loss of profit from all the company’s. Rich talked about they have lost interest due to the size of investment it would be to get bought out and they will continue to grow this business due to the lost
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They use a spoke wheel model which I had never heard of so I researched it and it is common in business world it’s just never shared. It’s when a team of investors or owners of clinics staff more than 3 clinics in the town or the state. The one team is in charge with staffing, management, marketing, and even financials of their clinics with the help of the owners and top of Wound Care Specialists. This giving the spoke wheel a good thing to expand the company as much as they can per state and cities. The cool thing I learned is the clinics are not all open every day, due to staffing being short in the health care, they spend the day at different clinics each day. Making the travel each day to the different clinics makes it easier on customers and the travel expands the travel of locations to create a wider customer base. This is a great idea when you only need one staff and create a huge client base based on the city or clinic you’re at. This model has worked for successful company that don’t have the amount of clients to profit at each clinic and to help employment base. I think if there were more customers and employees then this model is probably not a great idea due to the fact you need to profit at each and rent or bills on closed stores is a big expense that can be eliminated if they staffing
They use a spoke wheel model which I had never heard of so I researched it and it is common in business world it’s just never shared. It’s when a team of investors or owners of clinics staff more than 3 clinics in the town or the state. The one team is in charge with staffing, management, marketing, and even financials of their clinics with the help of the owners and top of Wound Care Specialists. This giving the spoke wheel a good thing to expand the company as much as they can per state and cities. The cool thing I learned is the clinics are not all open every day, due to staffing being short in the health care, they spend the day at different clinics each day. Making the travel each day to the different clinics makes it easier on customers and the travel expands the travel of locations to create a wider customer base. This is a great idea when you only need one staff and create a huge client base based on the city or clinic you’re at. This model has worked for successful company that don’t have the amount of clients to profit at each clinic and to help employment base. I think if there were more customers and employees then this model is probably not a great idea due to the fact you need to profit at each and rent or bills on closed stores is a big expense that can be eliminated if they staffing