Professional Documents
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Business Plan
Executive Summary:
Medical A supply brand distributes and provide dental rotary instruments, Finish, Polishing
material and accessories to Dentists and Practioners by providing state of the art products and
services. We also value our employees and consider them a catalyst to achieve our goals. Their
well-being is our first priority.
Annual industry growth rate is 1.2%, The Dental Equipment Dealers industry has experienced
remarkable stability over the past five years as a result of rapid improvements in dental
technology. Dentists, who are constantly aiming to improve overall customer satisfaction and
retention rates, have become increasingly likely to purchase these new technologies to gain an
edge over their competitors.
We have divided the market in two segmentations, Geographic and Demographics. In
Geographic segmentation we are targeting all the USA market, we are selling online on E-bay
and Amazon, and we have also our own website. We have also potential market in which we are
targeting total of about 15 states in Europe. In demographics we are targeting Dentists and
Practitioners, Dental hospitals and Dental clinics. Our business lies in B2B market so we will
market our business accordingly. Global dental equipment market size was estimated at USD
6,081.4 million in 2013
In coming three years we want to capture almost 20-25% of the Global market share. If we are
able to attain our goals in the given time period then we can easily compete with our direct as
well as our indirect competitors. Medical A USA has main goal to achieve monthly growth rate
of 10% on every product.
There are several companies with whom we will be competing. The manufacturers, distributors
and dealers in USA will be our direct and indirect competitors, those dental supply businesses
operating online will be our direct competitors.
We are investing total of $225000, this includes loan of $125000, ownership will remains with
the CEO and Owner of the business Ez Engel
We hope to get an office for the start in New York, USA. It would be registered after getting a
convenient office.
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Vision statement:
Medical A vision is to become a global leader in Dental supply industry known for its superior
quality products, innovation and delivering exceptional customer services.
Mission:
The mission of Medical A supply brand is to distribute and provide superior quality dental
instruments and accessories to Dentists and Practioners by providing state of the art services. We
also value our employees and consider them a catalyst to achieve our goals. Their well-being is
our first priority.
Objectives:
To maintain 90 day customer satisfaction survey results (70% who would definitely
marketing.
To form a dental supply brand which can eventually survive off its cash flows.
Keys to Success:
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Location:
The Company name Medical A USA is a dental supply brand which imports and distributes
dental rotary instruments, finish, polishing and accessories. We hope to get an office for the start
in New York, USA. It would be registered after getting a convenient office. We hope to move to
a bigger office which has a parking lot, a spacious customer care unit, conference room,
washrooms, technical offices, marketing and planning offices and administrative offices. We
hope to equip each department with the necessary tools to help facilitate their operations.
Service/Product description:
Problem in Market:
The Dentists starting from low-end to high-end are in search of high quality instruments and
equipments for them, but they are unable to find because unavailability of dealers in market who
can provide superior quality products, This is because dealers dont get such high profit margin
for high quality products and they then choose to provide low quality and substandard
instruments and equipments to Dentists and Practioners.
Monthly wages
CEO Ez Engel
10,000
CFO AF
8,000
COO GE
8,000
Help desk LR
6,000
Sales assistance
HE
3,650
Sales assistance
AB
3,650
Sales assistance
JH
3,650
50,000
edge over their competitors. Going forward, the primary cause of concern for the industry will be
the immediate effects of the Patient Protection and Affordable Care Act, as repeated changes to
the act have made it difficult for dental practices to predict and prepare for future costs.
According to US research report, The Dental Equipment Dealers industry has a low level of
capital intensity. For every dollar spent on labor, only $0.05 is spent on capital. This represents a
slight decline from 2011, when industry operators spent about $0.06 on capital for every dollar
spent on labor. Distribution centers require some purchases of handheld inventory tracking
systems and loading equipment, although these purchases are minimal in comparison with the
amount of industry revenue dedicated to overall wages.
The U.S. takes third place in worldwide imports of dental equipments and supplies (with a 9%
offer, in light of USD), taking after China (32%) and Korea (10%). In 2015, U.S. dental gear and
supplies imports totaled 1,496 million USD, which was 53 million USD (+4%) over the earlier
year's imports. Despite more competition in US market it is continue to be one of the attractive
destination for dental imports and supply, From 2007 to 2015, imports of dental equipment and
supplies in the U.S. showed steady growth, with an annual increase of +3.9% throughout the
analyzed period.
GIA declares the arrival of a thorough worldwide report on Dental Supplies market. The
worldwide business sector for Dental Supplies is anticipated to achieve US$19.4 billion by the
year 2017, driven by a maturing populace, expanding mindfulness about oral consideration,
ascend sought after for preventive and restorative dental strategies, and innovative
advancements. Rising per capita spending crosswise over created nations and expanding optional
livelihoods in creating nations are driving worldwide growth year's imports.
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and Amazon, we have also our own website. We have also potential market in which we are
targeting total of about 15 states in Europe.
In demographics we are targeting Dentists and Practitioners, Dental hospitals and Dental clinics.
Our business lies in B2B market so we will market our business accordingly. Global dental
equipment market size was estimated at USD 6,081.4 million in 2013
Customers ( Dentists and Practioners have very low bargaining power because there is no
any dental supply brand operating in US market which can provide such a high quality
and superior rotary instruments, finish and other accessories to dentists and Practioners
with these price rates, so there are less chances that customers will shift towards other
suppliers.
The other reason is online presence of Medical A, because more online presence
The bargaining power of suppliers is low because Medical A USA is purchasing high
quality instruments and dental equipments in relatively high prices because Medical A
has to sell again in fair prices, so suppliers cannot bargain for charging higher prices.
The easier it is to switch suppliers, the less bargaining power they have. Low supplier
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When industries are growing revenue quickly, they are less likely to compete, because the
total industry size is also growing. The only way to grow in slow growth industries is to
steal market-share from competitors. Industry growth positively affects Medical A USA.
When exit barriers are low, weak firms are more likely to leave the market, which will
increase the profits for the remaining firms. Low exit barriers are a positive for Medical A
USA.
Large industries allow multiple firms and produces to prosper without having to steal
market share from each other. Large industry size is a positive for Medical A USA.
4. Threat of substitute:
USA.
A higher quality product means a customer is less likely to switch from Medical A to
If strong brands are critical to compete, then new competitors will have to improve their
brand value in order to effectively compete. Strong brands positively affect Medical A
USA.
Advanced and superior quality instruments has low profit margins and this make it
difficult for new competitors to enter the market because they have to invest more for
effectively competing.
Patents that cover vital supply businesses make it difficult for new competitors, because
the best methods are patented. Patents positively affect Medical A USA.
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It takes time and money to build a brand. When companies need to spend resources
building a brand, they have fewer resources to compete in the marketplace. These costs
positively affect Medical A USA.
Marketing Plan:
SWOT Analysis:
Strengths:
Experienced operator
Already network with manufacturers and Dentists
Ability to sell products/Services online
Highly visible website
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Weaknesses:
Opportunities:
Threats:
Advertising strategy:
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For an expansion of business like ours the best form of advertisement would be word of mouth
and referrals would be used. We will be having customer relationship management tool to retain
our customers, we will send instruments as a samples to different Dentists and Practioners from
our target market and will offer different discounts to retain more and more dentists.
Sales strategy:
The sales strategy will focus on offering dental professionals the new technique and instruments
that will assist in them in serving their specialty populations.
Direct approach
Sales force
Sample as a gift to dentists and Practioners
Website
Mail order
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Word of Mouth
Value proposition:
By using Medical A, Hospitals and dentil clinics will be able get best quality instruments and can
attract more customers and can boost their sales, we promise that customers will receive more
services than their expectation and will be delighted by our services, customers will receive well
worth of the money invested.
At Medical A we take pride in our work and it is our aim to be the best at what we do. We will
conduct our business in a professional manner from our methods and character to our standard
and ethics.
Marketing Mix:
Product/Service:
Medical A USA supply brand import & distribute dental-rotary instruments, finish, polishing and
accessories. Medical A believes in providing the superior quality products and services to
Dentists to ensure better quality in dental service businesses. The branding, design and packaging
will be done in the USA with the permission/license issued by drug regulatory body. The direct
and indirect competitors of our product will be manufacturers, dealers and distributors.
Promotion:
We will promote our products by offering special offers to business customers, offering them
customized services. Our sales force team will handle all the promotional activities and
responsibilities to send samples and gifts to different Dentists and Practioners.
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Medical A is also having different packages for the Hospitals and big businesses. which will
purchase in the bulk quantity.
Medical A will also promote its business through offering services to existing customers on
FIVER. Through personal relations with hundreds of clients on FIVER we can increase our
initial level sales.
The other methods to promote our business are through word of mouth and referrals of satisfied
customers, we will provide quality services to our customers so that they can refer to their
friends and social circle about our business.
Place:
Website:
To provide convenience and time saving facility to our valuable customers, Medical A will
establish its own registered website to receive orders online and to check order status. Medical A
USA website will be designed in a way to attract more and more target market customers and get
more views. The testimonial/spokesperson promotional video produced and delivered to different
companies will be shared on the website so that upcoming customers can view the instruments
quality and work. Customers can also interact through chat facility available on website page.
Mail order:
Dentists and hospital businesses can also place order through email and through physical mail
order, customers only need to mail order, payment can be handled through online bank
transactions. This is for only to provide more convenience and ease to customers.
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Price:
No:
Product/Service
Price
Product or Service 1
$17
Product or Service 2
$17
Product or Service 3
$17
Product or Service 4
$3
Product or Service 5
$3
Process:
The operation begins with the customer contacting Medical A USA Service with the intent of
using our services/purchasing our products. All the details of the event are gathered and all the
relevant information pertaining the specific requirements, as well as the delivery of the product.
Thereafter, we start working on the order. The next step is to deliver to the customer.
Marketing Goals:
The marketing goal of Medical A USA is to develop the new market by analyzing the
Geographic and demographics. We start from the New York, USA in the coming five years
we can enlarge our business to the new horizontals. As we know the Video production
industry is growing rapidly so by this technique we can grab the market share a bit more.
In coming three years we want to capture almost 20-25% of the Global market share. If we
are able to attain our goals in the given time period then we can easily compete with our
direct as well as our indirect competitors.
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During the first quarter of business, we are more concentrating on establishing very strong
relations with customers (As customer is the king) in order to achieve the customer loyalty
which can help us in the time of competition for generating the higher revenues.
Investment:
We are investing total of $225000, this includes loan of $125000, and ownership will remain
with the CEO and Owner of the business Ez Engel.
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