Healthcare Industry - Market Plan

Today’s healthcare industry is becoming increasingly busier for providers and patients waiting to be treated. This report provides an analysis and evaluation of the current and prospective profitability, liquidity, and financial stability of Stethy+, a digital stethoscope that can take your four primary vital signs within 60 seconds. A stethoscope is a medical device used for listening to internal body sounds. Our team is assessing the usability of a stethoscope used for obtaining the four primary vital signs, which are:  pulse, respirations, blood pressure, and temperature.

There is no other piece of equipment that can provide this information to the assessor without having to use multiple pieces of equipment to obtain the readings needed. Along with using multiple pieces of equipment, it is also time consuming requiring more than 60 seconds to accurately obtaining all four primary vital signs.   Stethy+ is the solution to this problem and cutting down on the time it takes to obtain this information in an emergent or non-emergent situation.  

Our product is is designed with accuracy and efficiency in mind. The stethoscope has a sleek design that provides providers such as doctors, nurses, EMS workers, and medical or nursing students a clear, concise reading on the digital screen. We have made very simple and effective improvements to traditional stethoscopes that no other designer has implemented before, including a digital screen, high performance stethoscopes for physicians, specially designed stethoscopes for pediatrics, lightweight stethoscopes for simple physical assessment, and a line of stethoscopes for nursing or medical students to learn on, all having the same feature of taking the four primary vital signs. The result is a stethoscope that provides many advantages over ordinary stethoscopes on the market and still has a competitive price.

Our implementation plan for producing Stethy+ is both cost effective and efficient. We will purchase our materials -- tubing, plastic, ear pieces, bells, digital screens, batteries, piping, -- from wholesale companies in bulk, build our own prototype, and thoroughly test our prototype before starting mass assembly.

As the healthcare industry is growing and people’s needs and time management is becoming more important, Stethy+ will become a very popular choice for the health care industry. We strongly believe this will prove to be a worthwhile and profitable investment for the future of the health care industry and assessors.

Description of Original Product

With the use of Stethy+, the equipment required and total time spent taking vitals can be reduced.  Stethy+ is a multifunctional stethoscope that can be used to obtain the four primary vital signs in 60 seconds or less. Stethy+ gives an accurate, digital reading of the patient’s primary vital signs, using one piece of equipment and doesn’t require the assessor to count the respirations or pulse rate. With Stephy+, no counting is required; the stethoscope calculates all the results, digitally displaying them on top of the bell for easy visual access while listening to heart and breath sounds. Due to the growing advancement of technology, the use of this multifunctional stethoscope, Stephy+, will cut down on the time and equipment it takes to assess a patient and obtain vital signs in critical and clinical situations.  It will be beneficial to the healthcare industry market, benefitting providers within all fields of practice, not just specialized areas.

Description of Price vs. Quality

As many companies do, Stethy+ will offer high performance stethoscopes for physicians, specially designed stethoscopes for pediatrics, lightweight stethoscopes for simple physical assessment, and a line of stethoscopes for nursing or medical students to learn on, all having the same feature of taking the four primary vital signs. The price will be based on the type of Stethy+ being purchased and the type of products used to manufacture the stethoscope. The Stethy+ will range in features such as louder heart and respiratory sounds for people in specialized areas, or smaller bell pieces on the stethoscope for pediatric or smaller patients to get a more accurate reading. Also light weight features for simple assessment needs or for people who are seeking quality products for cheaper prices.

Brand Information

To make sure the branding of your product or business is on the right track, you first have to define what your business is by outlining its vision and mission statements and core values. A vision statement is a statement about what your organization wants to become (Sodhi). Stethy+ vision statement is to “bring innovation to every professional behind the stethoscope”. A mission statement is a precise description about what your organization does (Sodhi). Stethy+’s mission statement is, “With Stethy+ you can expect can expect exceptional sound quality, precise measurements, superior design innovations and durability”. Core values should be a representation of the companies’ fundamental values and beliefs. Your core values should reflect how your business performs and how it will value its customers, suppliers, and employees (Sodhi).  

When you are branding your product you have to keep all aspects of your product in mind. What makes it distinctive from other stethoscopes on the market? What solutions does Stethy+ offer their customers? What features are offered through Stethy+ and the benefits of these features? Also, where is Stethy+ on the spectrum for pricing and quality and the variations within the product offered (Sodhi).

Break Even Point

A simple break-even point is determined by net cash flow per unit, fixed cost, and variable cost. This is the model I used to figure out the BE point for Stethy+.   It is figuring out how many units you would have to sell before you make back your cost of making the product. First you have to determine your products contribution margin, which is calculated by subtracting variable cost from the overall revenue. To find the break-even point from here, you have to divide your products total fixed cost by the contribution margin.