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Market Strategy of Blue Cross Blue Shield Healthcare

Blue Cross Blue Shield is a prestigious company that specializes in providing health services and products. Blue Cross and Blue Shield, the pioneer in delivering health care facilities, have adopted the concept of virtualization as a leading organization and applied it to their existing IT infrastructure. One of the organization’s key challenges was to reduce the cost of its servers and tackle the problem of a rising client base that was crucial to their organizational needs. This paper will discuss the various aspects.

The business had been very financially well-off before realizing the infrastructure and technology. Conducive research indicates that even during the financial crisis of 2008, the organization has been stellar because of their high customer equity and premiums. Healthcare is one the elements that was always solid. Looking at the financial statements, the company made annual sales of $75.7 million. This allowed the company to leverage itself in the sector.

Market Strategy of Blue Cross Blue Shield Healthcare

One of the major strengths of the organization is its ability to have a strong customer base supported by its technological infrastructure. The infrastructure is heavily supported by its business model and understanding how technology can serve its needs. However, the key benefit that the Blue Cross achieved was the fact that it allowed its customers to accessibility of information without much delay. In an industry where information is vital, this organization was able to accommodate the needs of their growing customers as well as provide information that were compliant with HIPAA and ACA.


One of the major strengths as mentioned before was the fact that it had a strong customer and revenue base. The premiums that were being derived from the organization truly harnessed growth and allowed the company to get a strong threshold as a company.


One of the major challenges of the company was to expand its private and public cloud with compliance. It was evident that the risk management involved in insurance business is a huge focal point. Blue Cross has a major challenge between widening the scope between their IT systems by retaining old records and creating space for new customers. Furthermore, the company’s auditing team was able to ensure the legitimacy of network passwords within their own IT infrastructure. When it comes to cloud computing, many flavors are present. For instance, a public cloud is one based on the standard cloud computing model, in which the service provider makes the such as applications and services open to public. Private cloud is the term used to describe a framework for cloud computing introduced within the corporate firewall. For instance, Blue Cross Blue Shield might have its own private cloud in which firewalls and DMZ act as barriers before the company can access a public cloud.


One of the best opportunities was the fact that compliance and authentication can be met with its new technology infrastructure. Customer can easily access their information using PKI and get an easily secure to obtain their medicain information in fact, recent studies have found that organizations achieved on average their budget losses from cloud storage by 18 percent and data costs by 16 percent. It is clear that cloud computing is a technology that has been around for many years, but lately has been the pivotal point for organizations. By integrating technical support, optimisation and troubleshooting, the cloud provider can achieve large economies of scale, resulting in low cloud resource prices combination of public and private.


One of the major challenges for Blue Cross Blue Shield Incorporation major trends would consist of streamlining the process, conducting a SWOT analysis, and acknowledge all stakeholders within the organization. As a healthcare director, there are many challenges that need to be addressed in this realm. First and foremost, is the issue of ethics in the healthcare industry. That can be negative as around 2033 Medicare is going to be a big problem. A solidified solution consisting of an all-network partnership needs to be applied to rectify this problem. Additionally, compliance for HIPAA and Stageful 2 Compliance must be thoroughly met.

External Threats

One of the biggest external threats is obviously the advent of cloud computing and the dynamics that it continues to change in the industry. Even if a small portion of this is provided by fraud, the approximate loss in such fraudulent activities will result in losses of up to a heavy $56.7. That can be negative as around 2033 Medicare is going to be a big problem. A solidified solution consisting of an all-network partnership needs to be applied to rectify this problem. To a manager, the use of a plan that measures policies within the organization’s context is simple. Each organization faces different challenges.


To combat this seamless customer service, in-depth understanding of financial plans, and a more enhanced mobile application for customers to see their policies and procedures. Securing a cloud environment along with emergence of competition from other organization such as State farm and All-State has been another focal point. In order to meet customers’ demands, Blue Cross Blue Shield has been proactive in ensuring that customer data is being secured and in compliance with regulations. Additionally, it must continue to provide innovative services of products and services to ensure that it keeps up with its customers. In order to rectify ever-growing problem of compliance and patient security, hospitals must be proactive in streamlining policies.

Corporate/Business Level Strategy

Without a doubt, the organization must take a proactive approach to not only collect information, which can be an extremely critical situation for medical personnel. While the expense of false claims is not to be measured, taxpayers must be atoned for the financial woes when their tax money is used. The worst part of this entire scenario is the fact that money lost from incorrect financial billing may be used to help people with lower incomes. Instead, the lower-income people have to suffer as a result of false claims. Health care marketers will play a role in helping their organizations by ensuring that technology and business processes are placed.

Analyze Implementations

Conducive research indicates that rehabilitation centers and pharmaceutical services has been center of attraction for revenue cycle. In essence, healthcare teams has been emerging horizontally for a while to streamline the process of statutory regulations and healthcare itself. With much demand of privacy accumulating, Functional health status was the most frequently reported effect outcome of the program. In essence, an integrated review of the programmed depicted that all stakeholders such as physicians, collaborators, healthcare officials working together is more lucrative and beneficial for health officials as it eliminates tiers and provides a seamless manner of statutory regulation and compliance.

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  • Ed). Sudbury: Jones & Bartlett Publishers, Inc..
  • “What is HIPAA.” What is HIPAA. N.p., n.d. Web. 18 Aug. 2011. <https://whatishipaa.org/>.
  • Kongstvedt, P. R. (2007) Essentials of managed health care: (5Th Ed.) Jones & Bartlett
  • Publishers

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