HCEN Submission – Bella Healthcare India

Abhinav Gupta – 61920458

Abhinav Yadav – 61920070
Sumanjima Das – 61920392

Answer 1

Following key capabilities and resources are needed to develop a new product –

1. Understanding of target market and segments – the firm needs to understand well the
market trends and segments are well poised to grow profitably in the future.
2. High Quality of product/service (Technology) – superior quality or value proposition
needs to be there for a product/service so as to compete successfully in the market. This
shall be achieved through focus on R&D and high standards of manufacturing processes
and technology
3. Low Cost – ability of a firm to produce high quality products and keep costs lower.
Lower costs are achieved through efficient supply chain planning, low labour costs, and
low procurement costs
4. Organization Culture and Structure – a firm needs to develop right culture and structure
for efficient implementation of its strategy. There has to be clear policy on decision
making and communication. A strong culture determines how a firm reacts to external
changes in industry.
5. Sales and Marketing – an efficient marketing strategy is needed to cater to the needs of
the consumers. A strong and competent sales force is needed to be able to sell the
products/services and compete effectively with competitors
Answer 2

Bella India had the following capabilities and resources

1. Understanding of target market and segment – Bella India has been in India for a long
time. They have a good understanding of both premium and affordable segments. They
have access to supplies across the world as well. They are in good position to predict
and understand market trends
2. High Quality of product/service (Technology) – Since starting, Bella India has
accumulated technology from US counterparts. Additionally, they two product launches
(successful and failure) have improved their understanding of technology. They have
produced good quality products for both India and global markets.
3. Low Cost – India offers quality labour at lower costs. Additionally, as per Exhibit 1, we
can see that manufacturing and production costs are way lower than US counterparts
4. Organization Culture and Structure – the failure of Project Baton has taught India team
that culture is an integral part of success
5. Sales and Marketing – current sales and marketing efforts are low but they have some
presence in India. In order to expand into India, Bella needs to focus on marketing
strategy.

Answer 3

Project Baton failed for following reasons

1. Uncertainty and delay in project timelines due to unexpected departure of a project

manager in St. Louis. The replacement took some time to hire
2. Several technical and sourcing issues – Amplifier issue, delay in off-shoring of
microcontroller
3. Conflict in prioritization of design engineers and manufacturing teams
4. Cross-border coordination between India and US teams. Differences in communication
styles led to issues and consequently frustration among employees and managers.
5. Asian suppliers were not able to meet supply timelines despite them agreeing to
aggressive timelines
 6. Higher operations and human resource in two geographies also added to the overall
worries of Project Baton

Answers 4

Bella India should go for Project TKO for following reasons –

1. Learnings from failure of Project Baton – Both India and US teams have learnt on what
not to do for next product launch. Learnings from the failure shall help them implement
the project, development, supply chain effectively.
2. Product Market Fit – Bella India was selling US market products for premium segments
in India. This is just the tip of iceberg for the India market. In order to win in the Indian
market, Project TKO is essential to cater to the needs of the affordable and rural
segments of the country.
3. Value Addition to current alternatives – Project TKO shall introduce features that are not
offered by domestic, Chinese and Korean manufacturers. The alternatives have low
accuracy rates, no warranties, no after sales service.
4. Market Growth – as per research there was going to be no major new product/service in
the segment of Project TKO. Additionally, with growing urbanization and unhealthy
lifestyles, cardiovascular diseases are expected to rise. On the rural side, there are not
many medical labs and facilities to cater to the health issues of citizens. Hence, it is
critical for a product to fill the gaps in the market.
5. Growth Outside India – Bella India can look at growth and product introductions in other
markets if Project TKO is a success.
6. Head start by competitors – GE has already made head start in the same segment as
project TKO. In order to defend market share and sustainability, it is imperative that
Bella India invests in Project TKO.
7. Understanding of India – Bella India team has good understanding of Indian market and
has quality human and capital resources to work on Project TKO. They are better suited
to understand the needs of rural practitioners.
8. Ground for future innovations – to be able to solve problems in India will serve the
needs of constant innovation for Bella globally
9. Strong Team – Joseph Cherian and Jeremy Manning are good leaders to implement the
Project TKO