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Swot Analysis of Hca Holdings, Inc

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MGT 101 – Principles of Management

SWOT Analysis
HCA Holdings Inc.
November 18, 2015

SWOT Analysis of HCA Holdings, Inc.

S – Strengths:
HCA Holdings, Inc. has more than a few key strengths being the leading healthcare service provider in the US. Having a strong working routine and wide-ranging service group makes these their major strengths. HCA’s strong work routine brought in revenue totaling over $30 million in fiscal year 2010. By fiscal year 2015, revenue had increased due to net gains on sales of facilities and assets to over $120 million. Having the wide-range of service group such as; medical inpatient general, acute care, psychiatric and rehabilitation services and outpatient services such as surgery, laboratory, radiology, physical therapy which are provided by freestanding centers. These two key strengths alone put HCA Hospitals in a very competitive position. HCA’s strategies are designed to ensure their hospitals have qualified medical staff, quality of hospital’s facilities and equipment.
W – Weaknesses:
HCA has a high indebtedness which could have a negative affect towards its finances and future operations. During fiscal year 2014 the company’s indebtedness was over $28 billion. This puts HCA as being a highly leveraged company. Being at such a high degree of leverage could have important consequences for this company such as; requiring a substantial portion of the company’s cash flow from operations to be dedicated to the payment principal and interest to their indebtedness, limiting the company’s ability to changing market conditions which places HCA at a competitive disadvantage compared to other competitors who are less highly leveraged. Also, HCA will be exposing their company to increased interest rates, limiting their ability to make strategic attainments and obtain additional financing for working capital.
O –

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