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Table of Contents

Acknowledgement Dedication Letter of Transmittal Executive Summary Introduction of report CHAPTER 1 1.1 Company Profile 1.2 Vision 1.3 Mission 1.4 Company Objectives 1.5 Core Values 1.6 Organizational Hierarchy 1.7 Description of the venture CHAPTER 2 Marketing Plane 2.1 Market segmentation 2.1.1 Steps followed for segmentation 2.1.2 Characteristics 2.2 Market Targeting 2.2.1 Targeted Audience 2.3 Market Positioning Marketing Mix Plan 2.5 Product 2.5.1 2.5.2 2.5.3 2.6 Price 2.6.1 2.6.2 2.6.3 2.6.4 2.7 Place 2.7.1 2.7.2 Product Image Causes of Launch Features Importance of Price Factors affecting Price Determination Care Syringe Pricing Objectives Pricing strategy being used by 4SN Distribution Channel Transportation 13 13 14 15 15 15 16 17 17 17 18 19 20 21 22 22 24 24 24 25 VI V
VI

03 04 05 06 07 08 09 09 10 11

2.8

Promotion

2.8.1 2.8.2 2.8.3 2.8.4 2.8.5

Objectives Major Message Theme Promotion Budget Promotional Mix Promotional Strategy

25 25 26 26 30 31 31 32 32 34 35 36 37 38 39 40 40 40 41 41 42 44 45

CHAPTER 3 Production Plane 3.1 Product Flow 3.2 Steps of Production process CHAPTER 4 Financial Plane 4.1 12 months projected Income Statement 4.2 3-years projected Income Statement 4.3 Projected Cash Flow Statement 4.4 Projected Balance Sheet CHAPTER 5 Assessment of Risk, findings, recommendations 5.1 SWOT Analysis 5.1.1 Strength 5.1.2 Weakness 5.1.3 Opportunity 5.1.4 Threat 4.5 4.6 4.7 BCG Matrix Findings Recommendations

Glossary Index Bibliography Appendex

51 54 55 56

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Executive Summary

This project based on the concept of creating new venture for the entrepreneur. The new product which is being introduced by the new venture Care Syringe is One time usable syringe. This venture came into existence in January 2010. The company came into the existence with the aim of producing new product which would provide benefit to the consumer and protect them from the diseases like hepatitis, aids etc. The focus of this project is based on the development of new product. In this project, the focus is on developing a new medical product which can be used only once. In the start different ideas came for different medical equipments and finally the idea which is selected is the one time usable syringe. The report is prepared after the complete market analysis of medical equipments and needs of different consumers. In this report we get data from the local market and from different currently operating companies. The product has many comparative advantages over different products available in the market. It has a unique attribute over the other products, that is, the one time usability attribute. The product development has certain limitations like the financial hurdles, low literacy rate and low awareness of the different diseases. Also as the product is new so first there would be the need to advertise it and also too many efforts are required to wake awareness among the people.

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INTRODUCTION TO REPORT
Here is the report on the title starting new venture. For completing the project, we planned to design a product in Medical field. We keep in mind that the there are certain diseases that transfers from one person to the other, therefore there must be a product to control such diseases. Such a product which is very new one and does not exist before our launch in the market, and it will prove a bomb shell in the coming days. Report consists of detail description about our product. It contains the product flow, its features, what pricing strategies we used, where the product will be made available in our targeted market, what strategy we involved in choosing our channel distribution members and the most important issue; how the product will approach to consumers .i.e., promotion strategies. All these major points are being focused in this project. We hope that this report will be equipped of all such material which is needed in completion of a new product development theoretical process.

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CHAPTER # 1

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1.1

COMPANY PROFILE

Care Syringe is a Private Limited Company founded in January 2010 by five friends with vast experience in the Medical field and Plastic industries, is about to enter the electronics market in the first year of its business. Care Syringe using this opportunity will explore its capabilities and strategies which would bring them one day on the top most companies in this market. Syringes and Medical Market has been dominated by only international companies, which would provide Care Syringe a safe area to resist because we dont have to face challenges of strong competitors in the country where we are launching our product. Company will be located in the Shaheen abad, near Gulshan Iqbal Park, Gujranwala, on half acre land. The head office is situated at Momin Manzil, G.T. Road, Gujranwala. Care Syringe commences its business operations as the designers, inventors and assemblers. The company basically, provides a unique experience in terms of the product it offers. The product is unique in terms of design, quality, variety, and convenience. Care Syringe is committed to providing high value to its customers and to maintain a market place that has not yet been achieved by any other such concern in this specific area.

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1.2

VISION

To grow as a dynamic, innovative and market driven domestic manufacturer and distributor, with safety and quality as our core business while maintaining a commitment to the country, culture and environment in which we operate.

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1.3

MISSION

At Care Syringe, we strive to lead in the invention, development and manufacture of the industry's most caring syringes and other new market technologies that will prevent people from many diseases like, Hepatitis, Aids etc. We translate these advanced technologies into value for our customers through our professional solutions, services and consulting businesses worldwide.

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1.4

COMPANY OBJECTIVES:
To maximize customer value To create goodwill for our company Provide customer satisfaction by obtaining greater profits Make innovations by focusing on capture of large market share High Quality and fully Sterilized Syringes To break-even before the end of the first year of operation To continuously evolve to be up-to-date in both variety and technology

1.5

CORE VALUES:
Passion to work Quality Customer Focus Team work Honesty Creativity Loyal to perseverance Corporate Social responsibilities

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1.6

ORGANIZATIONAL HIERARCHY

CEO
Hafiz Shoaib

General Manager
Moazam Sohail

Finance Manager
Mehtab Butt

Marketing Manager
Faisal Mir

Production Manager
Jahangir

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1.7

DESCRIPTION OF THE VENTURE

Products of the Company


Initially the company is engaged in the manufacturing of the auto disposable syringe. At the first stage the company will only manufacture and sell the syringes while later the company will also manufacture and distribute other innovative medical equipment as the venture will grow.

SIZE OF THE BUSINESS


Currently Care Syringe shall only operate nationally and in the local market. But as the venture will grow the company has plans to expand its business to other countries and has vision to become and international in near future.

OFFICE EQUIPMENTS AND PERSONNAL


Care Syringe dont need he amount of equipment to operate. The company can easily operate with some simple machines. Although as the venture will expand, the entrepreneur has the plane to buy new technology machine to improve the productivity and efficiency.

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CHAPTER # 2

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MARKET SEGMENTATION:
The process of dividing a market into smaller and distinct groups with distinct needs, characteristics, or behavior who might require separate products or marketing mixes. We segmented our market on the basis of geographic segmentation where we selected Islamabad ,Lahore ,Sialkot and Gujranwala city where we will launch our product, in future we may expand our targeted cities. 2.2.1 Steps followed for market segmentation: 1. Need Based Segmentation. To group customers into segments based on similar needs and benefits sought by customers in solving the reticular consumption problem. Care syringe as during its research found that people are very concerned about the diseases or infections and they want to enjoy good life with less fear from the diseases like hepatitis, aids etc. 2. Segment Identification: For each need-based segment, determine which demographics, life styles, and usage behaviors make the segment distinct and identifiable. Care syringes main focus was to prevent people from infections and we considered the behavior of the people when they are ill or they need to injected. 3. Segment attractiveness: Using predetermined segment attractiveness criteria (such as market growth, competitive intensity, and market access) determine the over all attractiveness of each segment. Care syringe founded that as this market have no strong competitors and there is greater scope for our firm to become successful in few years.

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Segment Profitability: To determine the profitability of targeted segment. Care syringe founded as people require such products so this segment will provide us revenues in larger terms. 4. Segment positioning: For each segment create a value positioning and product price positioning strategy based on that segments unique customer need and characteristics. For this we designed various plans discussed later in this report. 5. Segment Acid Test: Create segment storyboards to test the attractiveness of each segments positioning strategy. We conducted a survey to check whether our idea will be successful by approaching to large number of targeted audience. 6. Marketing Mix strategy: Expand segment-positioning strategy to include all aspects of the marketing mix: product, price, promotion and place. As you go deeper in details of the project you will find our designed plans of marketing mix strategies. 2.2.2 Our segmentation will contain following characteristics: Measurable The size, purchasing power, and characteristics of the segments can be measured. Substantial The segments are large and profitable enough to serve. Accessible The segments can be effectively reached and served Differentiable The segments are conceptually distinguishable and respond differently to different marketing mix elements and programs. Actionable

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Effective programs can be formulated for attracting and serving the segments.

TARGET MARKET
A group of people for whom the marketer designs the marketing mix is called the target market. Care syringe is a newly established company with limited resources so we will use concentrated marketing coverage strategy. Instead of going after a small share of large market, the firm goes after a large share of one or a few segments or niches. Through this strategy we would be able to achieve a strong market position because of its greater knowledge of consumer needs in the niches it serves and the special reputation it acquires. We can market more effectively by fine tuning our products, prices and programs to the needs of carefully defined segments. In using this strategy we will adopt the pattern of single segmentation i.e., one product for one market to check its responses. If results would be in our favour then we may expand the scope of both market and products.

Targeted Audience:
Health conscious people Quality conscious people Lower Middle class group

PRODUCT POSITIONING:
A products position is the way the product is defined by consumers on important attributes-the place the product occupies in consumers minds relative to competing products. Positioning involves implanting the brands unique benefits and differentiation in consumers minds.

Care syringe is launching a Syringe with a one time usability attribute and its slogan is

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Life is a gift of Allah, so care for it

MARKETING MIX
The combination of 4 key terms related to marketing, known as MARKETING MIX involving Product, Price, Place, and Promotion. For effective marketing mix the arrangement of these 4 things must be in a sound manner to support each other in a sensible and realistic manner. Developments of strategy for each of these must be correlating each other to get a utmost output.

MARKETING MIX STRATEGY


The way by which objectives of the marketing are achieved through marketing mix is known as marketing mix strategy. It includes the benefits, which an organization is going to seek for. We have organized our all these four Ps in such a manner that it best fits with our organization goal and objectives. Now we are going to explain one by one all of these with relation to our Product.

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2.5

PRODUCT:
Product is a set of basic attributes assembled in an identifiable form. = = = = One time syringe Convenience Product Care Syringe

Product Name Product Type Brand Name Brand Image

Slogan

= Life is a gift of Allah, so care for it

2.5.1 Product Image

2.5.2 Causes of Launch:


It is an ideal product for health conscious people. It is an ideal product for quality conscious people. It is an ideal product for brand conscious people. There is need of the product which can facilitate the consumers in many ways. It provides many facilities in one product.

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2.5.3 Features: Brand:


CS373 Care syringe

Features:
One time usability, high quality, highly sterilized

Capacity:
01 ml, 03 ml, 5 ml, 10 ml, 15 ml, 20 ml, 100 ml

Net Dimension:
03mm x 03mm x 100mm 07mm x 07mm x 120mm 12mm x 12mm x 150mm 16mm x 16mm x 160mm 25mm x 25mm x 190mm

Injection Nose:
0.3mm x 0.3mm x 15mm 0.7mm x 0.7mm x 18mm 01mm x 01mm x 25mm 1.5mm x 1.5mm x 35mm

Injector
02mm x 02mm x 80mm 05mm x 05mm x 90mm 10mm x 10mm x 120mm 13mm x 13mm x 130mm 22mm x 22mm x 150mm

Injector rubber pusher:


2.2mm x 2.2mm x 03mm 5.2mm x 5.2mm x 3.5mm 10.2mm x 10.2mm x 05mm 13.2mm x 13.2mm x 08mm 22.2mm x 22.2mm x 15mm

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2.6

PRICE

The amount of money charged for a product or service, or the sum of the values that consumers exchange for the benefits of having or using the product or service.

Part art, part science, pricing is perhaps the most important of the four Ps of marketing. It's such a critical piece of the mix that developing and refining your strategy can be agonizing.

In recent years, with the advent of the cutthroat pricing policies in the retailing field has made price competition for independent retailers even tougher. We would never be able to undercut the warehouse home center's prices, and that they needed to somehow come up with a new pricing strategy. In order to come up with a pricing strategy, we must first do the following. We should first ask ourselves what kind of image we want to present to our customers. Do we want to be known for low prices, fair prices but good service, fair prices with frequent low price promotions, etc. This decision concerning image becomes the "pricing mission" of our business. Second, we need to define the customers we are trying to reach with their pricing strategy. In doing this, we must study what proportion of our customers are below 30 and how many are above 30 years of age and in what income bracket do they fall. After having a clear idea of who our customers are, we have to find what is important to these customers, that is, the factors of fair prices, good service, immediate availability of product or service support, etc. Then we need to study our competition. Which competitor serves the same customers? How are they going about it? What are their pricing strategies? Finally, after deciding on an image, studying the customers and evaluating our competition, we can set the pricing strategy.

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2.6.1 Importance of Price:


In the Economy: A products price influences wages, rent, interest and profits. Price is the basic regulator of the economic system because it influences the allocation of factors of production, labor, land and capital. As an allocator of resources, price determines what will be produced (supply) and who will get the goods and services produced (demand). In the Customers Mind: Some prospective customers are interested in low prices, whereas another segment is more interested in other factors such as service, quality, and value and brand image. Research has shown that basically there are four distinct categories of shoppers

1. Brand loyals (relatively uninterested in prices)


2. System beaters (prefer certain brands but try to buy them at reduced prices) 3. Deal shoppers (driven by low prices) 4. Uninvolved (seemingly not motivated by either brands or low prices) Price is also an important component of value. In recent years, customers both in consumer and business markets have sought better value in goods and services that they consumewe are focusing on thatwe will provide our customers best use of their money for that particular product i-e salad. We have priced our products so that the money of the customer is valued as much as our own and they are provided with quality products. In the Individual Firm: A products price is the main determinant of the market demand for it. Through prices, money comes into an organization. Thus, price effects a firms competitive position, revenues and net profits.

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2.6.2 Factors affecting Price Determination:


Estimated market demand: The estimated price of a product is the price at which a customer consciously or unconsciously values it its what they think the product is worth. Competitive reactions: In order to be successful, we have to think about what customers perceive about the products of the competitive companieswhat in their opinion are the shortcomings of their product and then we have to work on our products to make sure that they dont have the same disadvantages. We have no direct competitors. We have to rely on quality and price in order to get customers. So, pricing more and delivering better has to be the primary objective. Other marketing mix elements: Marketing mix elements such as nature of the product, cost and promotion etc. play a very important factor in determination of prices. Product: Pricing depends a lot on the kind of the product. As it is a edible good that we are offering, so its price must be of the sort that is comfortably afforded by our target market. Promotion: Advertising plays a very important role in the pricing and selling of a company. We have to make the consumer sure that the price they are paying for our salad is the right one so; we have to rely heavily on our promotional scheme for bringing out the unique features in our salad and to make sales. If promotion of our product is not good and the customer is not even aware of the salient features and uniqueness, then we definitely have to cut down on our prices in order to rule the market on the basis of price rather than price and quality together.

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2.6.3 Care Syringe Pricing Objectives:


Pricing will be done according to the cost i-e cost will be on cost-plus basis. After considering the cost we will add an appropriate profit. Pricing will be done keeping in view the prices of the competition, as we have no direct competitors but certain syringes are available in the marker which can be possible substitute therefore for we will consider these products while designing our products price. Our main pricing objective will be sales oriented i-e main pricing goals would be to: Increase sales volume: As we plan to grow fast we have to adopt the strategy of increasing sales volume. We have to discourage competitors so we first have to concentrate on getting customers and setting up a market share and all this could be done when we campaign effectively for incrementing sales. Maintain or increase market share: As a new comer in the market we have to concentrate on developing a healthy market share and maintaining it. Many companies go in loss within their 2nd year of opening because they are unable to maintain their market share. We will avoid this by innovation and schemes.

2.6.4

Pricing strategy being used by 4SN:

The Market Penetration pricing strategy is implemented because the product is new in the market and usually this is the most appropriate approach according to the market experts. Also our pricing strategy selected upon some reasons: Our product has distinct features which are strongly demanded by customers. Our product has elastic demand, so we can set the price of our product at possible competitor level. We have no competitor in the market regarding one time useable syringe.

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Yet now we dont have any competitors (up to some extent) in the targeted areas so we can take much advantage from this. But we should be full of mind that here we are to conduct a profitable business by providing valuable, excellence and quality product reasonably priced. While using the PENETRATION technique our companys average profit is regarding the competitors price.

10% which is quite justified

Prices of different possible competitors:


BD Syringe Nisa Syringe Master Syringe G Master L-Master Medi-Gect Medi-Aqua Rs. 07 Rs. 03 Rs. 03 Rs. 03 Rs. 03 Rs. 03 Rs. 03

PRICE OF OUR PRODUCT One time useable syringe


Product cost Packing Cost Advertisement & Promotion Sales Tax (15%) Organization Profit (10%) Company Price (Pak Rupee) 02.00 00.50 01.00 00.60 00.90 05.00/unit

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2.7

PLACE

Place include companies activities that make the product available to the target consumers. 2.7.1 Distribution Channel

We are using the 1 level channel distributions involving Company, Retailer and consumer.

Company

Retailer

Consumer

2.7.2

Transportation:

The whole arrangement of distributing vehicles will be managed by the company on itself. Care Syringe has purchased some carrier vans for our business, which will be used for distribution of products at different retail shops.

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2.8

PROMOTION

Designing and managing the marketing mix element to inform, persuade and remind current and potential customers, is called promotion

2.8.1

Promotion Objectives:

Awareness: At awareness stage the sellers task is to let the buyers know that the product or brand exists. Since we are a totally new brand, our biggest objective is to create awareness and make people realize that we have entered too. Knowledge: Knowledge goes beyond awareness to learn about a products features. Once we have created awareness about our existence in the market, we will provide information to consumers why we are unique and why they should come to us for purchasing salad by describing its advantages and motivating people through our ad campaigns. Liking: Liking refers to how the market feels about a product. Promotion can be used to move a knowledgeable audience from being indifferent to liking a brand. We will create this element by advertising caring for customers, one time usability advantages, and future positive results and also by affordable prices. Preference: Creating preferences involves distinguishing among brands. This stage creates no difficulties for us as there is no big market for such convenience products in existence. Conviction: Conviction entails the actual decision or commitment to purchase. The promotional objective here is to increase the strength of the buyers need. Care Syringe will achieve this objective by providing quality products to its customers and by treating them affectionately.

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Purchase: Purchase can be delayed or postponed indefinitely, even for the customers who are convinced that they should buy a product. Our product consumers can purchase from any retail or super market stores. 2.8.2 Major Message Theme:

The major message theme that Care Syringe will create will be to establish the high quality of the product and service. Other messages are: Life is a gift of Allah, so care for it 2.8.3 Total promotion Budget:

One of the hardest marketing decisions facing a company is how much to spend on promotion. For setting the total budget we will use Affordable method to set budget. As the companys business is on small scale, we cannot spend heavily on advertising. In this from our total revenues we deducted operating expenses and capital outlays, and then devote some portion of the remaining funds for promotion. We calculated and set our budget at the amount of

15,000,000.
2.8.4 Promotional Mix:

A combination of personal selling, advertising, sales promotion, public relations, and publicity. Following promotion tools will be used: Advertisement. Sales Promotion.

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Advertisement
Advertising is the ability to sense, interpret . . . to put the very heart throbs of a business into type, paper and ink." Any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor. Advertising may be described as the science of arresting the human intelligence long enough to get money from it. Objectives: An advertising objective is a specific communication task to be accomplished with a specific target audience during a specific period of time. To inform the public about our new product To build primary demand It should support personal selling. Lifting short-term sales

Setting the Budget: The Care Syringe is newly entering the market so it needs heavy advertisement to inform public. From the whole budget we set 70 % of the whole as advertisement budget. Following factors were considered: 1. Stage in product life cycle: Care Syringe stand at the introduction stage, so to introduce our product in market we need heavy advertisement. 2. Market share:

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Care Syringe as newly entering company with zero percent share. To capture market portion it needs to develop strong image in market.

Media:
The vehicle that carries the ideas to the minds through its multidimensional tools. The channel through which the ideas travel through one end to the other. Electronic Media: Physical & practical representation of thoughts. It provides Mass coverage Combination of sight, sound and motion Appealing to the senses Care Syringe selected following channels in electronic media:

Cablenetwork As the targeted market of Care Syringe includes only the market of Lahore, Sialkot, Gujranwala, Islamabad so to inform them we need not to advertise on other television channels. We would use them later as we expand our market coverage. Print Media: Newspapers Care Syringe product will be advertised in three newspapers; The Dawn, The Jang and Local newspaper of target cities covering quarter-page only on Sundays due to maximum readership. This medium provides: Flexibility Good local market coverage Easy acceptability Highly believable

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Magazines Care Syringe product will be advertised in Sunday magazines covering full-page. This medium provides: High geographic & demographic selectivity Attractive Credibility Our media reach is 70% Media frequency is 3 BillboardS Care Syringe sign board will be displayed near Civil Hospital, Gujranwala for Rs. 300,000. This medium provides: Highly attractive Attention capturing Deliver message in no time

Total Budget Allocation for 1 year Rs. 1050,0000 Media Electronic Media Cable Network Print Media 1. The Dawn 2. Local Objectives 60% 10% 1st year 60% 10% 6% 4% Amount 6300000 1050000

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Bill Boards

30%

30%

3150000

Sales Promotion
Encompasses the paid communication activities other than advertising, public relations, and personal selling that stimulate consumer purchases and dealer effectiveness. The remaining budget 30% will be used for sales promotion. For sales promotion, following options are made available: On purchasing our two syringes one will be given free. To attract doctors and nurses, special discounts will be given. We will give cards at all shops where are products being sold. The cards will be handed over to the customer if he make purchases up to Rs. 50000 and by showing the card on every new purchase he can receive discount of 5%.

2.8.5

Promotional Strategy:

The marketing objectives are based on the push strategy. Care Syringe will advertise its products in the unique and an unmatched way. The promotional strategy being used to market the products are reflective of the push strategy. As Care Syringe is currently working on creating demand through its advertisements, the promotional strategies would try to influence our customers choices in favor of Care Syringe products.

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CHAPTER # 4

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Product Flow:
Purchasing raw material Molding the plastic Assembling

Packaging

Inspection

Final touching

Sterilizing

We developed a sample of our product to check the following: Product process Raw material Supplier In the production process we only produce samples to check the limitation of our production unit and check the quality of our product. The product is passed on while preparation from number of processing. These are: STEP 1: PURCHASING RAW MATERIAL The raw material can be easily purchased from the local market of Gujranwala. Also the synthetic plastic can be made easily in the Pakistan so that it can be obtained from any city. As Gujranwala is one of the main industrial area of Pakistan, therefore we can buy the raw material from the local market easily. Also the pipe for the syringe nose can be obtained easily from the local market of the Gujranwala. STEP 2: MOLDING THE RAW PLASTIC MATERIAL In this step we mold the raw plastic material into the required shape with the help of dies. The hot and approximately boiled plastic is pushed in the die and as the plastic began to cool it becomes harder in that particular shape and our required shape is then ready for use.

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STEP 3: ASSEMBLING In this step the different parts such as the injector and injection nose are joined or assembled together to complete the whole syringe.

STEP 4: STERIELIZING After assembling all the parts then come the stage of Sterilizing. In this stage we sterilize the syringe with the help of different chemicals and machines.

STEP 5: INSPECTION In this step, production incharge checks syringe so that every Syringe is sterilized and all the parts and being correctly assembled.

STEP 6: PACKAGING The ready product is then packed in different sizes of packets, with the help of packaging machine and is send to our stores, which then passed on to retail shops through our carrier vans.

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CHAPTER # 5

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CARE SYRING LTD INCOME STATEMENT For the period of 1st year
Amounts (Rs. 000)
Jan. Sales Less: C.G.S Gross Profit Operating Exp: Salaries Rent Utilities Advertising Sales Exp. Insurance Payroll Taxes Dep. Office Exp. Total Exp. Profit 1000 500 500 Feb. 1600 800 800 Mar. Apr Ma Jun July Au Sep Oct No Dec Total . y e g. t. . v. . s 2400 350 450 500 500 500 400 400 600 650 48500 0 0 0 0 0 0 0 0 0 1200 175 225 250 250 250 200 200 300 325 24250 0 0 0 0 0 0 0 0 0 1200 175 225 250 250 250 200 200 300 325 24250 0 0 0 0 0 0 0 0 0 1310 100 45 850 50 100 125 60 75 2715 (151 5) 131 0 100 40 850 50 100 125 60 85 272 0 (97 0) 131 0 100 40 850 50 100 125 60 90 272 5 (47 5) 131 0 100 40 850 50 100 125 60 100 273 5 (23 5) 131 0 100 45 700 50 100 125 60 100 259 0 (90) 131 0 100 45 700 50 100 125 60 100 259 0 (90) 131 0 100 45 700 50 100 125 60 90 258 0 (58 0) 131 0 100 40 105 0 50 100 125 60 90 292 5 (92 5) 131 0 100 40 850 50 100 125 60 110 274 5 (25 5) 131 0 100 45 850 50 100 125 60 110 275 0 (50 0) 15420 1200 515 9600 600 1200 1460 720 1100 31815 (7565)

1160 100 45 675 50 100 105 60 75 2370 (187 0)

1160 100 45 675 50 100 105 60 75 2370 (157 0)

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CARE SYRING LTD INCOME STATEMENT For the period of 3rd year
Amounts (Rs. 000)
Percent Sales Less: C.G.S Gross Profit Operating Exp: Salaries Rent Utilities Advertising Sales Exp. Insurance Payroll Taxes Dep. Office Exp. Total Exp. Profit 100 50 50 Year 1 48500 24250 24250 Percent 100 50 50 Year 2 63200 31600 31600 Percent Year 3 100 79800 50 39900 50 39900

31.8 2.5 1.1 19.8 1.2 2.4 3 1.5 2.3 65.6 -15.6

15420 1200 515 9600 600 1200 1460 720 1100 31815 -7565

24.4 1.9 0.8 13.5 1 1.9 2.3 1.1 1.8 48.7 1.3

15425 1200 515 8500 625 1200 1460 720 1125 30765 815

21.8 1.5 0.7 11.3 0.8 1.5 2 0.9 1.5 42 8

17420 1200 515 9000 675 1200 1600 720 1175 33505 6395

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CARE SYRING LTD CASH FLOW STATEMENT For the period of 1st year
Amounts (Rs. 000)
Jan. Receipts: Sales Equipment C.G.S Salaries Utilities Rent Advertising Sales Exp. Insurance Payroll Taxes Office Exp. Inventory Total Disburse Cash Flow Opening Bal. Ending Bal. Feb. Mar. Apr. Ma y 410 0 215 0 131 0 100 40 850 50 100 125 90 40 485 5 (75 5) 433 5 358 Jun e 480 0 245 0 131 0 100 40 850 50 100 125 100 40 516 5 (36 5) 358 0 321 July Au g. 500 0 250 0 131 0 100 45 700 50 100 125 100 50 508 0 (80) 313 5 305 Sep t. 440 0 210 0 131 0 100 45 700 50 100 125 90 50 467 0 (27 0) 305 5 278 Oct . 400 0 200 0 131 0 100 40 105 0 50 100 125 90 50 491 5 (91 5) 278 5 187 Nov . 520 0 280 0 131 0 100 40 850 50 100 125 110 60 554 5 (34 5) 187 0 152 Dec . 630 0 300 0 131 0 100 45 850 50 100 125 110 60 575 0 550 152 5 207

600 3600 400 1160 100 45 675 50 100 105 75 10 632 (572 0) 1500 0 9280

1360

2080

3060

500 0 250 0 131 0 100 45 700 50 100 125 100 50 508 0 (80) 321 5 313

740 1160 100 45 675 50 100 105 75 20 3070 (171 0) 9280 7570

1120 1310 100 45 850 50 100 125 75 30 3805 (172 5) 7570 5845

1880 1310 100 40 850 50 100 125 85 30 4570 (151 0) 5845 4335

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CARE SYRING LTD BALANCE SHEET At the end of 1st year


Amounts (Rs. 000)

Assets
Current Assets:
Cash A/R Inventory Total Current Assets 2075 2600 60 4735 11665 1165 10500 Equipment Less: Dep. @40% Total Fixed Assets 4735 1855 2880

Fixed Assets:
Building Less: Dep. @10%

Total Assets

Liabilities and Owner's Equity


Current

18115

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Liabilities:
A/P Total Liabilities 680 680 5000 5000 5000 5000 5000 7565 17435

Owner's Equity:
Moazam Faisal Shoaib Jahangir Mehtab Retained Earnings Total Owner's Equity

Total Liabilities and Owner's Equity

18115

CHAPTER # 6

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5.1

SWOT ANALYSIS:

Internal Assessment:
Weakness: Weaknesses are attributes of the organization that it does not do well or resources it needs but does not possess. Care Syringe have to capitalize on brand awareness in order to capture the market. New Product. Unawareness of people. One of the weaknesses that Care Syringe faces is the limited budget. Strengths: Strengths are unique attributes of the organization that it has. We have the first mover advantage because we are the first one to introduce this one time useable syringe. Ready to use after purchasing

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Product is available the whole market. Branded and stylish product. Risk free product Latest technology. No side effects.

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External Assessment:
Threats: Threats are the negative trends in external environment factors. Profitability of business Arrival of competitors in near future Chances of failure As the new product stands in Question Mark in BCG matrix, may be the company becomes Star or Dogs i.e., the fearful stage of the business. Opportunities: Opportunities are positive trends in external environment factor. Large Investment. Innovations Rigorous distribution. Scope of exporting to other countries.

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5.2

BCG MATRIX:

The BCG Matrix is a chart created by the Boston Consulting Group in 1970 to help corporations analyze their business units or product lines, as part of the strategic management process and decide where to allocate cash. It was popular for two decades, and is still used as an analytical tool.

There are four stages of BCG matrix. These are QUESTION MARK STARS CASH COWS DOG Care Syringe stands at question marks because it has low market share but high market growth. It requires large amounts of cash to grow their market share. The corporate goal is to grow the business to become a star. Otherwise, when the industry matures and growth slows, the organization will fall down into the dogs category.

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Also the product is new, if consumers dont raise demand for it, it would probably go into dogs category. Main points to be focused by Care Syringe to fall into stars category are: Heavily spending to increase market share Heavily spending to aware the consumers about the new product and also to motivate them through different strategies to demand for the product.

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Findings
In this business plane we have found that there is a very high return for starting this venture. This venture will prove to be profitable both for the customers as well as the venture itself. This venture will maximize the customer satisfaction by providing good health and safety, and will secure them from different kind of diseases. The new venture will also be profitable for the owners itself, the venture will provide the profits to the owners within the first year of its business. The venture will also provide the spiritual satisfaction to owners and the employees of the company by providing health care products to its customers. There is no close competitor of care syringe the field of auto disposable medical equipments. Therefore this venture will going to capture the major market share rapidly. As initially the venture is only the partnership business therefore the capital subscription is a very huge hurdle for the business. Initially the partners are only providing funds for the company but later it is plane that the venture will become public to collect huge funds for the company.

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Recommendations
It is suggested that the business plane should be reviewed periodically. Because as we live in a rapidly changing world therefore as the time will pass the need and taste for the customers of the company will change and there will be need to review the business plane. It is also recommended that the company should expands its business as rapidly as it could, because there are many possible or the potential competitors in the market that will soon enter in the market to challenge the company and therefore the company must capture the maximum market share as soon as possible. It is also suggested that the company should brought the new technology as soon as possible. As today, the technology is rapidly changing which really increases the productivity and efficiency therefore by adopting the new technologies the company can compete with the com

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