Rug Bug Corporation Essay Example | Topics and Well Written Essays - 750 words

Rug Bug Corporation - Essay Example However, this is a small number when compared with the reported 4.5 million children who suffer from disabilities. So why do wheelchairs not sell to more children who need them The primary reason seems to be the high cost and the short period of usefulness of the equipment. If we consider the total number of children using wheelchairs and the age span of 8 years (14-6) that translates to less than 10,000 additional purchases each year, excepting of course, the replacements. As against this you have projected sales of 340; 5400; and 22,400 units in the first three years of operations - in a market that is growing at three percent anuually. This is not likely to go down well unless substantiated by other arguments. The additional market for children suffering from muscular dystrophy needs to be explained in greater detail and supported by data. In the meanwhile, you ought to consider revising the investment proposal by reducing projected sales in the 2nd and 3rd years. The wheelchair is a sign of ability impairment and may result in a lowering of self esteem and this will deter potential customers. The findings and recommendations of Doctors in that powered wheelchairs actually provide an impaired child with a sensory experience close to that of a normal child and improves their spatial skills and relations need to be highlighted in the promotion part of the marketing mix strategy. ... The additional market for children suffering from muscular dystrophy needs to be explained in greater detail and supported by data. In the meanwhile, you ought to consider revising the investment proposal by reducing projected sales in the 2nd and 3rd years. Critical Factors for Success: The wheelchair is a sign of ability impairment and may result in a lowering of self esteem and this will deter potential customers. The findings and recommendations of Doctors in that powered wheelchairs actually provide an impaired child with a sensory experience close to that of a normal child and improves their spatial skills and relations need to be highlighted in the promotion part of the marketing mix strategy. However, the projected sales and the promotional activity required to bring this message across require a spread over the entire US. This will be impossible to achieve within the small fund flow projections. The second factor will obviously be the backing of the medical fraternity for the product. Information about the unique qualities of the product followed by demonstrations would be required. The Business Plan You have made and presented the business plan without supporting most of the information with details of how these figures have been arrived at. These will definitely be required to be included. There is a need to clearly state the assumptions made and highlight the strengths of the organization that will be responsible for the operations of the company. Financing This is the most important part of the presentation and must be developed on a more realistic basis. I wish to point out that in addition to the overestimates of the sales in the coming years the