Home: Value Creation
Strategic Due Diligence:Â the frame work that the General Partner will use to conduct strategic due diligence will include:
Demand Assessment: the General Partner will thoroughly assess the various levers of demand and seek to understand how demand might change in both the long and the near term. Demand assessment will also entail interviewing purchasers, suppliers, end users of medical devices/healthcare services/health insurance policy holders to better understand future demand strength and to assess pricing elasticity.
Customer Assessment: the General Partner seeks to segment both customers and consumers of Health insurance/medical technology/healthcare services. Customer and consumer segmentation help the General Partner better understand which segments are underserved and why. The General Partner will also assess whether these segments are sizeable enough and have sizeable sustained growth. The General Partner will assess whether the right product mix is geared towards each customer and consumer segment.
Competitor Assessment: the General Partner will analyse what key competitors within the medical devices, healthcare services and health insurance sectors have done in the past year to change the playing field by either introducing new products or technologies or distribution channels. The General Partner will also analyse new entrants to the market and assess their strategies in the past year.
Regulatory Assessment: the General Partner will assess how the regulatory environment has hampered or helped sales in the health insurance, healthcare services and medical technology sectors. The MAC will also assess whether regulatory changes are frequent, draconian or productive. It will also assess what the likely regulatory environment will be in the near future.
Management Assessment: the General Partner will create an environment where management is comfortable to implement firm strategy. The General Partner will assess whether management has a track record of effectively implementing a few key initiatives that improved operational efficiency, augmented the product portfolio, broadened the distribution reach of customers and strengthened customer communication. MAC plans to incentivize every significant tier of management with equity compensation.