Inter-Global Medicare Entrepreneurship - Essay Example

Inter-Global Medicare Entrepreneurs’ Medical Plaza, 030452-0200, 4th Street, Texas 0. Executive Summary This is an entrepreneurial project proposal that is aimed at wooing the financial support of a business funding agency and is able to capture a reasonable market size. It will entail all the required concepts in the project proposal; plus the business marketing fundamentals that are viable to make meaningful returns. The proposal must present an innovative and convincing idea both to the prospective clients and the funding body with adequate consideration of the other stakeholders and the general community at large. Any business venture demands critical economic analysis for its survival amidst the other numerous entrepreneurs in the same firm. In that respect, Inter-Global Medicare main goal is to provide the best prescription medication to our clients’ at the most affordable prices in the market. The sale of the drug would be at reduced prices through careful maintenance of efficiency in the operations of the firm and by aiming specific market segments especially those who pay for the prescribed medicine themselves. By focusing on this segment the firm will avoid inefficiencies and operational disruptions that are characterized by unsteady cash-flows and hence eliminate supply shortages. Inter-global Medicare plans to operate from one store that is to serve both mail order customers and those who visit the facility in person. The firm seeks to thrive through employment of friendlier and skilled staff, which in combination with our great prices is set to propel the repeat business that will be reliable. The firm expects that as the price of medication continues to rise, Inter-Global Medicare will be appealing more and more the clientele sense of value, affordability and convenience. The firm's advertising, mainly through the ads in magazines targeted by a relatively greater crowd, will be aiming at those who seek to save money on high price but necessary and regular expenses. Inter-global Medicare entrepreneurs will be led by Experienced PHD holder in the field of medicine and with an accumulated wealth of experience in relevant field not less than five years. The cost of the entire venture will be minimized by maintaining just a few pharmacists and filling the remaining gaps with pharmaceutical technicians. In so doing, the firm expects to reach profitability by third year and will generate substantial sales by mid of the same year. 1.1. Background Information The central issue of focus in this proposal is to establish the best remedial medication against the menace of obesity. This problem has been gaining momentum of the past centuries and is headed to ruin the better part of the coming generation. The increased nutritional imbalances and inadequate physical exercise has been blamed on this health matter. Nevertheless there are other unidentified factors attached to it that has not been given critical analysis so as to come up with an all round measure. It has also been noted that some of the medical measures that had been developed to curb this condition have failed woefully in different ways. Some of them like the fenfluramine and phentermine were found to have overwhelming side effects and this rendered them ineffective to combat the threat of obesity in the society (King & Nuala 67-72). Some other medical discoveries like Thyroid extract was tried but its effects on the bones, muscles and the heart were prohibitively dangerous leading to a consequential medical gap. It is out of this need by the society that Inter-Global Medicare entrepreneurs has invested resources to come up with an obesity treatment that would see the menace reduce by more than half by the year 2030. 1.2.0. Population Affected Obesity is taking toll among the young generation and partially among women. This group of people is highly exposed to this condition due to their uncontrolled feeding habits, minimal or no exercise. The global statistics presents a high population of the young people age between years 5-25 as the most vulnerable (King & Nuala 67-72). Women are also considerably affected due to their craving for fast foods along the children. The target population will therefore be this young population who coincidentally are also the highest represented in the demographic structure of most nations. 1.2.1. Market Size The market size in the entire industry throughout the globe has been going up every day. But for the start especially for the Inter-global Medicare entrepreneurs, the market niche is likely to be still small since it is the first time it is coming into the market. However, due to its superior product, it is likely to capture a wider market share that is approximated to a third of the total after every four months. 1.2.3. Present Diagnostics or Therapy Inter-global Medicare entrepreneurs has come on board with the best prescription medication that sees to fill the therapeutic gap that many scientific attempts have failed to break. Antiobesity Treatment which this firm has developed is called surgical sympathectomy. This entails administration of tables and a theatre surgical operation that is aimed at removing some of the excess fats from the body. After that the patients is taken through a physical exercise sessions for at least two months and utmost five months within the supervision by the experts and within the facility (Smolak & Thompson 102). The degree of efficacy of this prescription will be based on the extent of weight loss. Considering the other past and even the present alternative prescriptions to the Inter-Global's drug, it emerges the best in terms of side effects with little body immunity destabilization and physical wellbeing. 2.1. Objectives The objectives of Inter-Global Medicare entrepreneurs for its first four years in the market include; i. Deliver beyond the customers’ expectations with superior pricing ii. Increase the market size by more than 35% per year iii. Develop a steady business that survives off its own cash flow. 2.2. Mission The mission statement of Inter-global Medicare is to accord affordable healthcare services to clients and their convenience. 2.3. Keys to Success The fundamental keys to success by this firm will include; Satisfaction of the customers so that they are always motivated to come again. To ensure that the overhead costs and operating costs are maintained as low as possible. To provide effective prices that will be affordable to the customers and a cost-sales competitive tool against the other players in the industry. 2.4.0. Company Summary Inter-Global Medicare entrepreneurs is located in Upper-Hill commercial center. The focus of the company is to offer prescribed medicines at prices which are affordable. 2.4.1. Company Ownership Inter-Global Medicare entrepreneurs are private limited liability corporation. It is registered with the national companies’ registrar under the company registration act. 3.0. Products The Inter-Global Medicare entrepreneurs offer a wide range of prescription drugs to patients based within Upper hill and nationally. Both generics and name brands will be on offer. 4.0. Market Analysis Inter-Global Medicare Entrepreneurs target market consists of mainly two different groups of patients, that is, the local (walk-ins) and international customers (the mail customers). In reaching out to these two diverse potential customers, inter-Global Medicare will deploy two strategies to extensively provide coverage for this diverse market segments. 4.1. Market Segmentation Inter-Global Medicare Entrepreneurs’ customers are broken down into two main groups, namely, local and international. Following increasing global concern on chronic diseases, there has been need to tame down these infections among the productive sector of the economy. Obesity, like other chronic infection, obesity raises global health concern. For instance, in America, it is estimated that more than 60 per cent of the entire population are obese. The Walk-in Customers are local customers whose incomes are low and therefore look for the lowest medical care. Their income is constrained and thus they may only afford relatively low priced Medicare. However, they are not only after price but also quality of the care. Currently, with the increasing cost of living, they complain of high costs of drugs charged by the local pharmacists. Most of these customers meet their medical expenditures out-of-pocket hence it would be very costly. However, less than 10 per cent of such clients have medical insurance cover scheme and con-insurance which partially meet these expenditures. But even the insured customers have to settle their medical bills out of their pockets before presenting their claims to the insurance companies. It is not a guarantee that once presented for compensation; the insurance company will reimburse the clients. The second group of Inter-Global Medicare Entrepreneurs’ targeted customers is the international and the affluent groups. This group of customer is referred to as Mail Order Customers. Notably, Inter-Global Medicare Entrepreneurs’ introduces this scheme to care for the older generation above 50 years. Unlike the younger generation, the old generation need for medical care increased with increase in age, thus the need to care for them. This mal service is used to cater for the increasing need to address chronic health related cases among the higher income group who are able to purchase more than one month’s dosage at once. 4.2. Market Segment Strategy Inter-Global Medicare Entrepreneurs’ seeks to attract the two mentioned group of customers, hence will deploy two strategies to retain and attract these customers at the expense of their competitors. Our anticipation and market research revealed that substantial percentage of our loyal customers will be the order-by-mail group. To reach out to this group of potential customers, Inter-Global Medicare Entrepreneurs’ will use media and social networks. Advertisement campaign through newsletters and magazines which are popular among the older generation (above 50 years) would be preferred. For instance, the popular advertising vehicle would be A.A.R.P monthly newsletters, which is mostly read by the affluent members of the society. To reach out to the low income customers (the Walk-ins), Inter-Global Medicare Entrepreneurs’ will advance on using the social media and television advertising mechanism. Besides, the company would use local daily papers, which are easily accessed by the local groups. These advertisements should focus on both quality and affordability. Among the social networks are face-book, twitter, among other networks. The choice of advertising medium depends on the intended customers reach-out (Wesley 24-6). 4.3. Competition and Market Patterns Just like in other business sectors, health sector faces stiff and unfair competition, which takes different forms. To match the modern trend in business, Inter-Global Medicare Entrepreneurs’ will prefer e-commerce trading. This method has an advantage of being able to reach out to many potential customers globally. Besides, Inter-Global Medicare Entrepreneurs’ would advance their marketability through: Chain Pharmacies and Health Centers: they are national or international chain systems such as Rite-Aid. Chain marketing has the advantage of increasing the accessibility of the company products and moving services closer to customers. It help reduce transport cost that would have incurred by the customers had the services been centralized. To the company chain stores enjoy economies of scale, which reduces the cost of production per unit of output, hence more profitable. Customer will enjoy personalized services at their disposal with chain stores. Local Pharmacies: these pharmacies are preferred for the locals (walk-in customers). In these pharmacies, the patient has close personal contract with the specialist in charge who in-turn has detailed historical medical condition of the customer. Internet Pharmacies and Mail Orders: these are common to international clients (Mail Order Customers). It is of preference to these clients as it helps in reducing transaction costs related to travels and ordering. However, it may be expensive if the cost of mailing is relatively high. The company would use its website in developing visibility and to disseminate information among its potential customers. s 5.0. Competitiveness of Inter-Global Medicare Entrepreneurs’ The industry exhibits a number of players with similar objective (profitability and wealth maximization). Though there are many players in the market, Inter-Global Medicare Entrepreneurs’ will focus on beating her competitor in price, quality and service delivery (Szwarc, 2005: 45-6). 5.1. Competitive Edge Inter-Global Medicare Entrepreneurs’ competitive edge over the competitors is superior price discrimination mechanisms. The company practices first, second and third degree price discrimination. By considering the variation in income, the company charges different prices to different groups in the society. In addition, Inter-Global Medicare Entrepreneurs’ maintains relatively affordable rates for its products by painstakingly maintaining low costs through efficient operation (Wesley 24-6). This would be achieved through reducing the administration costs, increasing working hours for our staff, and conducting our main operations through mail orders as opposed to keeping large staff in departmental stores. 5.2. Marketing Strategy Our marketing strategy would be use appealing adverts to promote, and popularized our products and services. The main objective of this strategy would be to increase the awareness of the customers on our competitive prices and our quality products. The company will popularized internet advertising method and local media. 5.3. Sales Strategy Our sales strategy would be based on developing sustainable long-term loyalty with the potential customers. To achieve this objective, our company would provide reliable, quality and affordable medical care to obese patients both locally and internationally. In addition, our shipping and delivery services would be reliable, cost effective and sustainable over time. Our sales representatives are located worldwide to serve customers’ needs. 5.3. Sales Forecast During our first quarter of operation, we will focus on establishing customers’ loyalty both locally and internationally. In the second quarter, the company would first give attention to the local (walk-in customers) by constructing front stores in the local scene. In the third quarter of the first financial year, the company will go cross-border and seek international customers (mail order customers). In the last quarter, Inter-Global Medicare Entrepreneurs’ would expect her sales volume to account for at least 60% of the total output during the year. In the subsequent financial periods, the company sales are estimated at 90% of the market share. 5.4. Milestones Inter-Global Medicare Entrepreneurs’ will counter the following milestones at its onset period (Abrams & Eugene Kleiner 35). Profitability Strategic relationship establishment Business set Sunk costs Competition from already established firms 6.0. Management Strategy The company will be managed by board of directors appointed on merit and with vast experience in management of pharmaceutical corporations. At the helm of this team will be chairperson to the board assisted by the Chief Executive Officer. It is this management team that would make decisions regarding investment plan, expansions and marketability of the company. Besides, all the ten members of the management team are graduates in pharmacy and bio-chemicals from state universities. 6.1. Personnel Plan  Inter-Global Medicare Entrepreneurs’ will recruit the following staff: Sales representatives and agents Pharmaceutical technicians Pharmacists Order fulfillment agents Counter persons and phone representatives 7.0. Financial Plan This section will provide useful financial information for the company. In this section, the company will outline its estimated expenditure, cash-flows and balance sheet. Other content are revenue estimates and income statement. Sales Focus Over the next 5yrs Year Sales Volume, % 2012 75 2013 78 2014 85 2015 91 2016 88 Cash Flow Statement Projection Year Cash-flow in million $ 2012 980.80 2013 1020.00 2014 1095.50 2015 1250.90 2016 1300.00 Works Cited Abrams, Rhonda M., and Eugene Kleiner. The Successful Business Plan: Secrets & Strategies. 4th ed. Palo Alto, Calif.: The Planning shop, 2003. Print Debelak, Don. Perfect Phrases For Business Proposals And Business Plans: Hundreds Of Ready-To-Use Phrases For Winning New Clients, Launching New Products, And Getting The Funding You Need. New York: McGraw-Hill, 2006. Print. Frey, Albert Wesley. The Effective Marketing Mix; Programming For Optimum Results. Hanover, N.H.: Amos Tuck School of Business Administration, 1956. Print. Hills, Andrew P. Neil A. King, and Nuala M. Byrne. Children, Obesity And Exercise: Prevention, Treatment, And Management Of Childhood And Adolescent Obesity. London: Routledge, 2007. Print. Shostak, Arthur B. Viable Utopian Ideas: Shaping a Better World. Armonk, N.Y.: M.E. Sharpe, 2003. Print. Smolak, Linda, and J. Kevin Thompson. Body Image, Eating Disorders, And Obesity In Youth: Assessment, Prevention, And Treatment. 2nd ed. Washington, DC: American Psychological Association, 2009. Print. Szwarc, Paul. Researching Customer Satisfaction & Loyalty: How To Find Out What People Really Think. London: Kogan Page, 2005. Print. Wexler, Barbara. Weight In America: Obesity, Eating Disorders, And Other Health Related Risks / Barbara Wexler. 2010 ed. Famington Hills, Mich: Gale Cenage Learning, 20102011. Print. Read More