Draft Version of a Business Plan
Product Description
Outline of Operating Environment
Expected Source of Competitive Advantage
Product Description
The main objective of this business plan is to launch a new Kids & Child product for the purpose of company expansion. Kids & Child International, the product manufacturer, aims to introduce the first safety bracelet in China. This product has a number of distinct features that represents its competitive advantages. The safety bracelet is made into different sizes (small, medium and large) and colors suitable for children ages 1 to 5 years. The main part of the safety bracelet will be made of 100% plastic. To create a smooth and easy to wear on the babies & children’s wrists, it will be also made with elastic.
A wireless micro speaker powered by two button batteries will also be placed on the outside part of the bracelet which looks like a watch. The micro speaker will work by means of using an infrared device placed on the wrist section of the product. Safety bracelet also installs an electronic radio frequency to protect the baby & child from mosquitoes.
The mechanism behind the safety bracelet is similar to that of a baby monitor (2005). Kids & Child safety bracelet works like a radio transmitter which allows parents or home helper to keep a close watch on their children even without being near them. The product is made up of a transmitter (bracelet) and a receiver (infrared device); through these, sounds that babies make can easily be transmitted to the receiving device carried by the mother or home helper. In this way, parents can do something else at home without worrying about their children.
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Outline of Operating Environment
The manufacturing facility of Kids & Child will be established in Guangzhou Province, China. As Guangzhou Province is the country’s biggest province and has the most useful resources Kids & Child needs, this geographic location is most appropriate. Specifically, Kids & Child needs a business location were retailers are very accessible. In addition, the population in China is high compared to other countries, which in turn increases the number of potential consumers. The province is also a home for other baby product manufacturers implying the location’s efficacy. In addition, being a main province in China, Kids & Child will not have any problems on suppliers and deliveries.
In order to succeed, the company should have other key success factors. Hence, in addition to geographic location, the company also intends to employ effective strategies for superior customer satisfaction. Considering that brand loyalty is a major barrier in the baby product industry, Kids & Child should implement ways on how to obtain the interest of the target markets. In order to support this objective, the company will establish a customer service department where consumers can forward their inquiries and concerns about the product.
The main distribution channel of the Kids & Child safety bracelet will be through retailers. In addition to the subsidiaries of the company, Kids & Child will also distribute its innovative product through major supermarkets. In this way, the company will be able to cover a higher level of market coverage. The level of profitability in this distribution channel is relatively high as products are directly made accessible to the consumers. In addition to retailers, the safety bracelet will also be distributed through online retailing. By developing a company website that will cater to purchases placed online, Kids & Child will be able to distribute its product at an even greater market range. This will also allow the active mothers target segment to be aware of the safety bracelet.
Expected Source of Competitive Advantage
As the Kids & Child safety bracelet is a new product, the customer service of the company will focus on giving instructional guidelines to the consumers. This will ensure that the customers are using the product effectively. This will also help the company in marketing the product. The customer care system of Kids & Child will employ four channels: by telephone, post mail, online chat rooms and electronic mails. By increasing the customers’ access to the company, Kids & Child can provide its services to a larger market.
Certain company standards will be developed by Kids & Child as well in order to create competitive advantages. One of these standards will focus on quality management and control. A quality assurance team who will ensure the quality production of the safety bracelet will be assigned. A quality reporting system will be employed so as to track down defective products, malfunctioning machineries or personnel shortage. For the human resource, screening policies will be employed. This in turn will help in selecting the right employees for specific job positions. All of these will be done in order to ensure the high level of satisfactions among consumers. In addition, these will also help the company overcome the competition in the baby product industry.
Credit:ivythesis.typepad.com
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