The IUP Journal of Entrepreneurship Development
Dr. Devi Shetty of Narayana Hrudayalaya: Delivering Quality Cardiac Care to the Masses

Article Details
Pub. Date : March, 2019
Product Name : The IUP Journal of Entrepreneurship Development
Product Type : Article
Product Code : IJED31903
Author Name :G V Muralidhara
Availability : YES
Subject/Domain : Management Studies
Download Format : PDF Format
No. of Pages : 09



This case discusses the growth of Narayana Hrudayalaya (NH)-a social enterprise set up with the objective of providing affordable healthcare to the needy-its emergence as a chain of well-run hospitals across India, and its foray into foreign countries. The case further highlights the decision of the company to go in for an IPO and poses the question whether this would affect the social objective of the organization in view of the pressures it would face in achieving short-term results as a publicly listed company.


In September 2015, Devi Shetty (Shetty), Founder Chairman of Narayana Hrudayalaya (NH), a hospital chain that stood apart in the Indian healthcare market by providing affordable quality healthcare to the masses, announced his intention to go in for a public issue. The announcement attracted widespread interest in the media. Questions were raised about the reasons for the public issue since Shetty had been running his hospital chain successfully for 15 years, achieving his social mission of providing treatment to any patient who walked into the hospital irrespective of his/her ability to pay for the treatment. There was concern that the pressure of shareholder expectations and quarterly results would distract Shetty from his social goals.