Chapter 8: Exercise: Preparing your business plan. You are considering the possi
ID: 416177 • Letter: C
Question
Chapter 8: Exercise: Preparing your business plan. You are considering the possibility of operating a small business or practice in some activity related to health care, either as a provider of some sort of care or as a service intended to support various provider organizations in their care-delivery activities. a. First describe the kind of entity you plan to establish, by stating the service or services you propose to deliver and the kinds of clients or customers you would be serving. b. Next, write a paragraph offering compelling reasons for your proposed venture, explaining why you believe it is needed and by whom it is needed. Incorporate in this narrative a description of the kind and extent of competition you might face in your intended service area, and delineate how your services would be sufficiently different to enable you to compete successfully. c. Develop a crude estimate of how much money you will require to become established in business and up and running, and state how you would consider trying to finance your venture. d. Finally, create a rough outline of your business plan, describing each step in the plan and stating the purpose of each step.
Explanation / Answer
Hi,
In the field of healthcare , I have a plan of providing a machine to the various care provider ogranizations.
This machine will be a blood test laboratory in a compact and fast state than the latter one.
Answer a) I plan to get into the market of healthcare by providing a fast and compact solution for a blood test laboratory to the health care providing organizations. This will be a machine which will be able to provide the results of blood test for typhoid, maleria, dengue in less than 10 mins where these results take upto 48 hrs to state these disease. I particularly target the audience which needs the correct treatment as soon as possible and not a general treatment till the results are out for the blood tests stating the specific disease. I would propose this solution to the new emerging health care organizations which need some new innovations to create theri name and establish themselves in the long run.
b)I had the idea of making or atleast thinking about something like this when my own brother suffered from dengue. The hospital ran different blood test which took more than 24 hrs to state that he had dengue. During these 24 hrs he was given normal anti biotic pills which did not helped him at all rather his condition got worse. Ultimately in the end he got well but then i realised that if someone don't have the chance to survive these 24 hrs. then what will the doctors say. Who will take the responsibility. So we can save that by saving time for publishing the results of blood tests. So, this is the reason i strongly believe that a solution like this is a need of the hour. This instrument can be useful to every patient who needs urgent diagnosis or the person who can be treated while he is in the 20-30 percent into the illness and not making him go to 50-60s percent by making him wait for 24 hrs or so.
But ultimately every new idea, is opposed or faced by some kind of competitors. For this product, the main competitors will be the laboratory testing oragnizations, the doctors who run these tests and the educational institutions who has been teaching the conventional methods for ages now. Obviously when a machine can do what a doctor/lab scientist can do in less than 1 percent of time they need, there will be strong opposition. But i believe the new and evolving organizations, medical institutions and common people who suffer from the above stated issues will surely understand it's concept and will give priority to the patient's life rather than business and their ego and will opt for the solution i propose. I can say this because this solution will be fast and accurate and cheaper at a stage and ultimately will help everyone including the ogranization and the patient in the treatment.
c) There is no specific cost that will be require to build this solution but a rough estimation for a single machine which has a usage life time of 5-6 years can cost around 1 million INR including the R&D, engineering and material cost. I would consider the best way to finance my venture will be to join hands with an evolving organization in healthcare industry who care to build something revolutionary and take the risk of going against the stereotypes.
Business plan:
Noting down and finishing the idea-> First and foremost i would have to talk to a companies R&D department and share this idea with them and convince them to spend their resources in understanding the feasibility of my solution.
Designing: After getting the approval from the R&D department i will have to talk to engineering and designing department to get the best possible design to be compact and cost effective.
Testing: As health care is a critical field and there is no chance of errors here, so i will have to convinve the organization for the test run of the solution. Maybe 3-4 test runs to be sure about the accuracy.
Marketing: After successfull test runs, it will be time to get more and more sponsors for the solution and this can be done by providing them a sample of the solution for a short period of time and letting them understand it's effectivenss and accuracy.
Reach out to the patients: After starting the marketing with the health care organizations, it will be time to make the commmon people aware of this solution, which can ultimately increase the demand of my solution and eventually increase in number of sales and sponsors.