Competitive Strategy in Diverse Industries: Alphapharm, Estia, & G8 Ed

This essay provides a detailed analysis of the competitive strategies employed by Alphapharm, Estia Health, and G8 Education across different industries. Alphapharm, a generic drug manufacturer, focuses on generic substitution and stakeholder engagement. Estia Health, an aged care provider, emphasizes acquisition and expansion to increase its market presence. G8 Education, a childcare provider, prioritizes quality care and education through investments in facilities and workforce development, including partnerships with universities. The essay highlights the specific strategies each company uses to maintain and improve its competitive position within its respective industry, referencing company reports and industry data to support its analysis. Desklib provides access to this essay and many other resources for students.

Running head: COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
Name of the Student
Name of the University
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COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
Industry: Pharmaceutical
The pharmaceutical industry in Australia has witnessed an increasing competitive market
in the recent years. This is due to the technological advancements witnessed in the world of
medical sciences. Further, the increasing inspection from payers, the community and the
regulatory bodies have also compelled the pharma industries to rethink their strategies and
policies in order to survive. It is however, also true that the industry in Australia has witnessed
great boon over the past few decades as investors beyond the country are also showing interest in
the industry. In a recent survey by PwC, it was revealed that 45% of the people related to this
industry consider the m-health and e-health are the potential competitive advantages that will
benefit the industry in future.
Company: Alphapharm
Overview
A generic drug manufacturing company based in Australia, Alphapharm is owned by the
Mylan Pharmaceuticals of United States (Mylan.com.au, 2018). The company manufactures a
variety of generic drugs that is exported to more than fifty countries across the globe. The
company started operating in Australia in the year 1982 and has been among the top three
pharma companies in the country. In fact, as per the reports of the Australian government’s
industry data, it is the biggest drug manufacturing and selling Company in the country with 20%
share in the market (Industry.gov.au, 2018).
Competitive strategy

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COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
The company forms its strategies based on its three most important stakeholders that
include the doctors, the pharmacists and the consumers. One of Alphapharm’s biggest strategies
is its compliance with the policy of generic substitution (Mylan.com.au, 2018). The company is
probably the only in Australia that supplies generic medicines to the people and upholds generic
substitution. It follows the simple strategy to benefit all three of its stakeholders as mentioned. In
case of the doctors, the company has a separate force that gives every detail about the generic
substitution to the doctors thus helping them adapt to adopt this revolutionary idea. With regards
to the pharmacists, Alphapharm delivers numerous value-added services to the pharmacies and
that makes it the only company to do so. Lastly, the company has a separate and unqie strategy
for its consumers. To being with, it is the only pharma company that advertises on all forms of
media, be it television, print, radio or the social media.
The success of its competitive strategy is evident from its positioning in the ASX list of
top pharma companies in the country. In addition, the acquisitions made by the company over
the last few years including the latest in Mumbai, India prove its success.
Industry: Aged care
The aged care industry in Australia is abounding with opportunities for companies to
cash in and do business. The need for this industry in Australia is rising each year as the
country’s population is ageing. Many implications of this fact concern the Australian economy
and its society. The government is aware of this fact and has made provisions for the systematic
planning of providing home care and residential care for the aged population. However, the
industry continues to waver in trajectories unchartered as the aged care providers face
innumerable challenges as well as opportunities.

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COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
Company: Estia Health
Overview
Estia Health (EHE) is an aged care provider based in Australia. It operates in places like
Victoria, New South Wales, South Australia and Queensland. Established in 2005 as Estia, EHE
specializes in providing residential services to the aged population that include everyday living,
wellbeing and lifestyle, nutritious food and clinical healthcare (Estiahealth.com.au, 2018).
The company performed significantly well in the financial year 2016 generating over 440
million dollars in revenues. It is currently headed by Norah Barlow as the Chief Executive
Officer (CEO). It boasts of 69 facilities across 5,782 places. The company aims to expand its
business in the coming years as the market opportunity for the industry continues to grow.
Competitive strategy
The main strategy of EHE is to acquire as many places as possible to expand its business
and continue to provide quality services to the aged people. In its 2016 report, the company
elaborated its plans of acquisition. It made a strategy to own 500 to 100 single sites across
Australia in the coming year. Further, the company has strategized to acquire one medium and
large sized firm within the period that ensures the accomplishment of its expansion strategy. In
addition, it plans to modify more than 300 Brownfield and around 1000 Greenfields to open new
branches.
As part of its acquisition strategy, EHE struck deals with four leading aged care providers
in Australia in 2016 and was successful. The company acquired Kennedy Healthcare in February
that expanded its operating places by 21% (Theage.com.au, 2018). It led to the company

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COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
boasting an addition of nearly 500 beds for its customers across the country, which was well
above the forecast predicted by many experts. However, the acquisitions did not make much
difference to the share prices as the company had expected. Therefore, it can be stated that the
company’s competitive strategy of acquisition has been largely successful in helping its
expansion but it was not effective in raising its share value.
Industry: Child Care
The childcare sector in Australia is a booming industry that continues to provide
investors with great opportunities to do business. This has in fact resulted in the rapidly
increasing number of childcare providers within the country despite the presence of numerous
other companies. In the 2017 financial year, the industry saw purchase of 76% of land for
childcare centers. However, the industry faced a wavered flow of sales volumes in the past year
with sales going down to 5.84% (Smh.com.au, 2018). Experts believe that despite the industry’s
declining figures, it continues to grow owing to increasing support from the government and the
rise in people’s participation.
Company: G8 Education
Overview
G8 education provides education facilities and quality care to children across Australia
and Singapore. Based in Australia, the company was founded in 2007 with the mission to be the
leading contributor of educational developmental child care facilities in Australasia
(G8education.edu.au, 2018). Gary Carroll is the CEO of the company who was appointed the
role in January 2017. In 2017, the company generated revenue of close to 800 million dollars that

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COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
was about 20 million more than the previous year. In addition, it owned 516 centers across
Australasia with more than 9,000 employees serving there (G8education.edu.au, 2018).
Competitive strategy
As part of its competitive business strategy, G8 focuses on acquisition, quality care and
education, employees and community. The focus for this assignment however, is the company’s
strategy on quality care and education. With a view to increase its business within Australasia,
G8 looks to aim at investing more in educational and care facilities to be provided to the
children. In the year 2015, the company spent around 9 million dollars on bettering its childcare
facilities within all its centers (Theaustralian.com.au, 2018).
Further, the company looks to increase its workforce in order to attain the best team of
expert educators. With a view to raise its stake, G8 also aims to make new partners. This would
ensure a strong workforce thus raising the quality of care and education. Very recently, the
company came into partnership with the Swinburne University of Technology that aims to give
G8 employees the chance to earn a degree through the university’s training program
(Swinburne.edu.au, 2018)
This strategy has faired remarkably well for the company because parents have been
given increased assurance that the education and care of their children are in the right hands.
With a workforce adept in early childhood learning, it surely would help the company be ahead
of the race in the coming years as well. It needs mentioning that G8 Education is one of
Australia’s top childcare providers.

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COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
References:
Estia Health. (2018). Corporate profile. [online] Available at:
http://www.estiahealth.com.au/investor-centre/corporate-profile [Accessed 13 Apr. 2018].
Estiahealth.com.au (2018). DELIVERING ON FY2020 STRATEGY, Estia Health (EHE). [online]
Estiahealth.com.au. Available at: http://www.estiahealth.com.au/assets/media/files/Delivering
%20on%20FY2020%20strategy(2).pdf [Accessed 13 Apr. 2018].
G8education.edu.au (2018). Company Overview - G8 Education. [online] G8 Education.
Available at: https://g8education.edu.au/about-us/company-overview/ [Accessed 13 Apr. 2018].
G8education.edu.au (2018). G8 Education – Investor Presentation. [online] G8education.edu.au.
Available at: https://g8education.edu.au/wp-content/uploads/2013/09/260416-SGD-Bond-
Roadshow-Investor-Presentation.pdf [Accessed 13 Apr. 2018].
Industry.gov.au (2018). Australian Pharmaceuticals Industry Data Card 2013. [online]
Industry.gov.au. Available at:
https://industry.gov.au/industry/IndustrySectors/PharmaceuticalsandHealthTechnologies/
Pharmaceuticals/Pages/PharmaceuticalsIndustryDataCard.aspx [Accessed 13 Apr. 2018].
Mylan.com.au (2018). Mylan – Seeing Is Believing. [online] Mylan.com.au. Available at:
http://www.mylan.com.au/ [Accessed 13 Apr. 2018].

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COMPETITIVE STRATEGY OF ALPHAPHARM, ESTIA HEALTH AND G8 EDUCATION
Mylan.com.au (2018). Mylan to Acquire Famy Care Businesses to Create a Leading Women's
Health Care Franchise. [online] Mylan.com.au. Available at:
http://www.mylan.com.au/en-au/news/press-releases/2015/123276 [Accessed 13 Apr. 2018].
Smh.com.au (2018). Australia's childcare sector grows up. [online] The Sydney Morning
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grows-up-20171116-gzmqht.html [Accessed 13 Apr. 2018].
Swinburne.edu.au (2018). New partnership aims to raise early childhood education workforce
quality. [online] Swinburne.edu.au. Available at: http://www.swinburne.edu.au/news/latest-
news/2018/02/new-partnership-aims-to-raise-early-childhood-education-workforce-quality.php
[Accessed 13 Apr. 2018].
Theage.com.au (2018). Roll-up strategy sees Estia Health shake off weak debut. [online] The
Age. Available at: https://www.theage.com.au/business/investments/rollup-strategy-sees-estia-
health-shake-off-weak-debut-20150730-ginwqt.html [Accessed 13 Apr. 2018].
Theaustralian.com.au (2018). Value Investor: Lessons from G8 Education. [online]
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spectator/value-investor-lessons-from-g8-education/news-story/
dc080db0e7b12df0c95a08a5deb216cb [Accessed 13 Apr. 2018].