INTERNATIONAL BUSINESS PROJECT

Medical Mobility Equipments

SUBMITTED BY

BENSON JOSY-Manager Operations-10189615FEBIN RAJU-Manger Marketing And Sales10189410

REKHA NAIR-Manager-R&D-10189160RAASHI KAUSHAL-Manager-HR10189145

SHUBHA RAJU-Manager – Finance 10189790

MEDI CARE MOVABLES PRIVATE LIMITED

Agenda

Corporate StrategyMarketing Plan and External AnalysisOur Product –Feniks Wheel Bed & Wheelchair Strategic Analysis-Internal and ExternalMarketing StrategyOperations PlanMarketing ResearchRisk Reductions StrategiesFinancial PlanAsk and Offer

MEDI CARE MOVABLES PRIVATE LIMITEDMedical Mobility Equipments-“We Care at Your Comfort”

Kesvanahalli, off Sarjapur Road, Bangalore – 560037Tel-080-35367560, 35367561, 9036735895

Feniks@medicaremovables.comwww.medicaremobility.com

Vision

Mission

Products

We want to become an international company and to reach and care

1milloin disabled people within 5 years.

Our mission is to care the disabled with international standard movable

equipment but of low cost. We are committing ourselves to sense the

feeling of disabled people.

Medical Mobility Equipments-Feniks-Wheel Bed Feniks-Wheelchair

Management Competency

Benson Josy- Competency in Organizing and coordinating

Febin Raju- Understanding of Market and analytical ability

Rekha Nair- Innovative and creative

Raashi Kaushal- Relationship building & networking

Shubha Raju- Forecasting and analytical ability

Marketing Plan & External Analysis

2010-2011 full exemption on all medical equipments and reduced 7.5% of import duty Increase in aged citizen , desire to lead an active lifestyle There is a Patent Act to support Pharmaceutical Industry Second largest in population and workforce

Key Drivers Of Change

Stability of government is high

43rd position in FDI stock

Labor force put Indonesia on 5th position worldwide

GDP is increasing rapidly from last few years, 2009 - 4.5 and 6.1 Percent in 2008

Low Government participation in health industry and higher presence of privet players FDI invitation by government in the Medical and pharma industry The country exempted import tax duty on technical products and its raw material

Our Product –Feniks Wheel Bed & Wheelchair Wheel chair Wheel bed

Adjustable hand rest Wheel chair as well as bed

facility

Foot rest Toilet cover

Foldable Bucket seat with seat belts

Head rest Adjustable head rest and foot

rest

Square shaped Steel Frame Writing Pad

One year Free service Storage cover

Call alarm

Rear wheel drive

Square shaped steel Frame

One year free service

Marketing Plan & External Analysis

Market Size And Growth

•Medical equipment industry is USD4.5 million

•By 2012 it will increase to USD7 million

•Market is unorganized (10%)

•Old age-5.3% of total Population

•In 2009Paralyzed 63449 and injured 496481

•6,105,477 of the total population is disabled

Competitor Analysis

• Ostrich Mobility- Strong Presence in South

India with Electronic Wheelchairs - Well

established Distribution

• Callidai- A wide range of products in Medical

equipment and Surgical

• Narnag – Market Leader in Maharashtra and

adjacent states

• Surgitech Dealing with imported equipments

from US and Korea Substitutes and Alternatives

• The patients can choose to be in comfortable bed and

can use normal wheelchairs

•Can prefer walking aids like walker’s and walking

sticks

•Can satisfy the need of mobility through vehicles like

cars and customized bikes for disabled.

27%

25%22%

11%

15%

Market Share Of Competitors

OstrichCallidaiNarnagSurgitechOthers

Marketing Plan & External Analysis

Price

Quality

LogisticsFeatures

Product Variety

0

5

10

Radar Plotting

MedicareOstrichCallidai

Five Force Analysis

Expand our product line to corporate office movable equipments

Web site based distribution system for more customization and reduction in intermediary cost

Global Expansion by entering into neighboring countries

Alternative Business Models

Strengths – S1) Strategic alliance with Ostrich2)Extensive distribution with help of ostrich3) Strong R and D department in connection with ostrich4) Low price5) 4 in one feature6) Innovative product7) Made in accordance with Indian standards8) Good financial position

Weaknesses – W

1) Inexperience2) Unknown brand name3) 10 days lead time4) No prior relation with the distributors

Opportunities – O

1) Increase in demand due to increase in number of road accidents, old aged people and paralyzed people.

2) Government allotment of 22000 crores to the medical equipment industry shows the growth of medical industry

3) Growing industry at an average of 7%4) Indian markets are untapped by quality

wheel chairs5) Possibility of backward and forward

integration

SO Strategies

S4,S5,S6,S7 Tries to take advantage of O1 and O4 S2 and S8 tries to take advantage of O3

WO Strategies

O4 can be used to overcome W205 can be used to overcome W3 and W4

Threats ----T1) Threat of new entrants from china which

are much cheaper than ours2) Intense competition

S3,S4,S5,S6 tries to overcome T2S4,S5,S7 tries to overcome T1

Bench mark with competitors Tries to reduce W1 and T1Tries to reduce W2, W4 along with T2

Marketing Plan & External Analysis

TWOS

Marketing StrategiesMarketing Mix

Pricing Competitor based pricing- value based pricing methodWheelbed-45000Wheelchair- 4500

Place Extensive distributions through reputed Medical equipment dealers like –Sothern India Surgicals, Bangalore Surgicals… •Association with Ostrich mobility.

Promotion Trade shows and exhibition, Internet, word of mouth, sales promotion Pamphlet and Posters in Hospitals and Medical stores

Distribution Strategy

Marketing StrategiesSegmentation –Targeting –

Positioning Segmentation Segmented to the

upper middle class and middle class. E.g. Working class people (for their aged parents)

Targeting Targeted to Single Market of Disabled through B2B- Hospitals and old age Homes B2C- Bedridden disabled and aged parents

Positioning Price, Features, Comfort, Independent

FAB Analysis

Features Advantages Benefits

Wheel chair as well as bed facility

High battery life High quality product affordable product

Foldable Multipurpose utility as a wheel chair and a wheel bed

Easy to carry

Bucket seat with seat belts

Option for customization

It can be used in inside and outside the premises

Adjustable head rest and foot rest

Rear wheel drive Ensuring security

Writing Pad Adjustable Toilet cover

Prompt after sale services

Storage space Call alarm One year free service

Light Wight User friendly

Operations Plan Organizational Chart Organizational Structure & ownership

Medi Care Movables is following a flat structure

Administration –Manger Sales & Marketing

Ownership is restricted to its promoters and the venture capitalists in a 50:50 proportion

Promoters itself will be occupying the top managerial roles like Operation , Marketing …

The labor forced include both skilled and unskilled workers.

There will be 7 employees in the assembling unit and 5 Marketing executives .

Operations PlanSuppliers • Domestic Suppliers -

• Seats - Haritha Seats, Banglore• Spare Parts-Gloria Metals• Chase - Escorts Engineers, Kerala• Battery -Amron- SRI Manjunatha

Batteries , Bangalore• International Suppliers

• Wheels, Motor, Control unit - Hospex -Health Co.,Ltd

Raw Materials Logistics • Suppliers own Logistics

Medi Care Movables LTD -Banglore• Recipt and Storage of Raw Materials

• Assembling & Packaging

Finished Product Logistics - Ostrich Mobility Instruments P LTD -Strategic Alliance

Tool Racks

Inventry Storage Rack

Cutting and Welding Unit

Final Assembly Line

Quality Control Unit

Trial And Testing

Production and Assembling Process Logistic and Supply chain of Inventory and finish product

Marker Research

75%

25%

Scope Of Wheelbed According to Doctors

yes no

Patients preference between Manual electronic WheelchairsKerala Karnataka

Name Of Hospitals Patients Preference of wheelchair Name Of Hospitals Patients Preference of wheelchair

Manual Electronic Manual Electronic

Medical Trust 20-30 0-10 St. John’s 40-above 20-30

Specialist 20-30 10-20 Apollo BGS 20-30 10-20

KMC 40-above 10-20 Manippal 30-40 10-20

KVM 10-20 0-10 Fortis 20-30 10-20

1000-10000

10000-20000

20000-30000

30000-40000

40000-50000

50000- above

00.5

11.5

22.5

33.5

44.5

Price Preference of Electronic Wheel Bed

Axis Title

Risk Reduction Strategy

RISKS PRO-ACTIVE RISKS

STRATEGIES

RE-ACTIVE RISKS

STRATEGIES Competitors can imitate

the technology and

design

Building brand equity Market Development

programs

Innovation and Product

development (R&D)

Web site based

distribution and cutting

down margin of

intermediaries Safety issues associated

with the product

Company is providing the

option to insure the

product

Financial PlanUnderlying Assumptions

•Depreciation used is straight line method.

•Increase in number of units every year for 5 years.

•The assembling unit will be on rental basis.

•Unit direct cost will have a slight increase from one year to other having cost per unit as constant.

•Total project duration will be for 5 years.

•Capital generation will be from venture capitalist and management team.

•All finance, HR and other staffs are included in administrative staff.

Expected business risk is 35%. jul

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0

50000

100000

150000

200000

250000

300000

350000

400000

450000

500000

Sales

Sales

Financial Plan Exit and Harvest

Private Sale IPO(Initial Public Offer) Management Buy Out Sale of the business to a private

buyer. sell the company share to the

strategic partner of the business and

continue the business in their

identity.

company have to reduce level

freedom of share holders in

management IPO should announce in prior

because share holders may be very

active in the management with a

reduced level of stake

Company owners can move to

the direct control by reducing share

holding.

Ask and Offer Total initial Investment-40,000,000

Investment proposal between investors and venture capitalists is 50:50

Calculated payback period : 2 years 4 months

Calculated breakeven on 346 units

Feniks Wheelbed

Feniks Wheelbed

Reference

Assocham. (2010, march 23). Medical Equipment Industry To Touch Us$ 7 Bln. By 2012: ASSOCHAMMonday, March 22, 2010. Retrieved may 1, 2010, from pressreleasepoint.com: http://www.pressreleasepoint.com/medical-equipment-industry-touch-us-7-bln-2012-assochammonday-march-22-2010

CENTRAL INTELLIGENCE AGENCY. (2009). Retrieved MAY 2, 2010, from cia.gov: https://www.cia.gov/library/publications/the-world-factbook/geos/bg.html

road accidents . (2010). Retrieved may 1, 2010, from indiastat.com: http://www.indiastat.com/crimeandlaw/6/accidents/35/roadaccidents/17897/stats.aspx

ostrichmobilityinstruments. (n.d.). Retrieved may 1, 2010, from ostrichmobilityinstruments.com: http://www.ostrichmobilityinstruments.com/about-us.html

THANK YOU