Massage Tools Products Inc. sells tools for the professional as well as retail market. Our products target the pain and discomfort caused by overuse injuries that are common in massage therapy professions. Massage Tool Products was created with massage therapists and massage therapists at heart. Their unique ergonomic shape gives you more control over pressure, allowing you to apply pressure with less effort. This product is great for trigger point and deep tissue massages, reflexology, seated or any other modality.
This business plan was created for internal use and is intended to be used as a guideline for the company during the launch of the business and the subsequent growth. To compare our progress to our plans on a quarterly basis, we will refer to the plan. We will then adjust our business plan to reflect our actual results.
Massage Tools Products is experiencing a boom after discovering the professional massage therapy market. This gave us an opportunity to expand our sales through schools. After being featured in magazines and trade publications advertising our products, we were also able to establish a new channel through the website.
The annual business plan for Massage Tools calls for slow, steady growth with a period of rapid increase in sales. Massage Tools’ break-even analysis shows that it has the right balance between fixed costs and enough sales strength to continue to be healthy. The first year’s break-even is just over $6,000 per months.
We also anticipate being more profitable than ever. Overall, the outlook is positive and shows that the company has good growth prospects. We look forward to managing our orderly growth.
1.1 Mission
Massage Tools Products Inc.’s mission is to supply top-quality tools for massage therapists to increase their effectiveness and decrease repetitive injury in massage professionals.
1.2 Keys to Success
Low cost of assembly;
Favorable profit margins;
Innovative and market leader for massage tools;
Low overhead
1.3 Objectives
To sell Massage Tools’ in at least 100 stores and schools of massage therapy throughout the United States.
Design a website to allow you to place orders online for Massage Tools’#8217 products.
Expand your market share by creating additional products within the next 18 months.
There is a market for leatherette and velour drawstring bags. These bags can be used to carry eyeglass bags, jewelry bags, pen bags, and other promotional items to increase their perceived value. Elsewares Promotional Products & Packaging was established to supply these logo-imprinted products to advertising specialists distributors, who then market them to the end users.
The Products
Elsewares is developing a collection of unique products, as well as drawstring packaging products, that will increase the perceived value of these products. These products will be imported from Mexico and Far East. Before they reach distributors, they will be printed in-house with different company logos.
Elsewares can join the Advertising Specialties Institute trade group to have electronic and print access to a network 13,000-14,000 ASI-listed distributors of advertising specialty products, which is part of a $7.4 billion industry. This is second only to newsprint and television in terms of advertising dollars. Elsewares’ products will be sold only through these distributors. Elsewares intends to reach those distributors through advertisements in trade publications, through an in-house sales force, and a network of salaried and commission-based sales reps.
In conjunction with our marketing campaign for these packaging products we will display our unique line of promotional products to the exact same distributors. Thus, we have three sales opportunities.
The Market
The industry of advertising specialties has seen sales grow at an average rate of nearly 7% per annum over the past decade, reaching $7 billion in revenue last year. This is a mature market that is overcrowded with distributors and suppliers. In that industry, there were three suppliers offering only velour or leatherette drawstring bags. They combined to sell $2,500,000. These three suppliers are located along the East Coast. The Midwest and West Coast have the largest number of advertising specialty distributors. We feel that by concentrating our efforts on marketing to the West Coast distributors, many of which already have had positive business relationships with our personnel, we will acquire a significant market share of the packaging niche over the next three years.
Financial Considerations
We will use a portion of our initial startup cost to buy inventory, office equipment, as well as imprinting machine. The rest will be used to pay catalog costs and for advertising expenses. In the first twelve months of operation, we anticipate that there will be an additional financial commitment for financing receivables or payroll expenses.
Elsewares aims to increase its sales in the West United States, and achieve a respectable sales level by Year 2. Based on our monthly fixed cost estimate and the expected monthly unit sales, Elsewares should be able to achieve a running monthly break-even point after the fourth month.
Elsewares seeks a financial package that is based on a five-year note amortized over fifteen years. The note will be personally guaranteed by the founder’s assets. By amortizing the note over 15 years, the company will be afforded the opportunity to establish a healthy track record which will enable the company to seek alternate financing for the balance. It should be noted that the owners of Elsewares do not intend to take any profits out of the business until the long-term debt has been satisfied. Whatever profits remain after the above debt payments will be used to finance growth, mainly through the acquisition of additional inventory.
1.1 Objectives
The East Coast is home to the three largest suppliers of imprinted pouches for advertising specialty distributors. They are currently making a combined $2,000,000 in pouch sales. Elsewares aims to increase its sales in the west United States and reach a respectable sales level before the end of the year. Elsewares wants to factor our growth and diversify into unique promotional product offerings. These products will be attractive as advertising specialty items or packaged with a drawstring pouch. We can also provide these.
1.2 Mission
Elsewares intends to develop an inventory of unique products and drawstring packaging products that can add perceived value to those products. These products, which are sourced from Mexico or the Far East, will have various company logos imprinted before being shipped to distributors.
Elsewares can join the Advertising Specialties Institute trade group to have electronic and print access to a network 13,000-14,000 ASI-listed distributors of advertising specialty products, which is part of a $7.4 billion industry. This ranks only behind television and newsprint in terms of advertising dollars spent. Elsewares’ products will be sold only through these distributors. Elsewares plans to reach these distributors through advertising in trade publications, an in-house selling force, and a network if salaried and commission-based reps.
Success Keys 1.3
Elsewares management believes that it has the right products and the right people to attract a loyal customer base. Our business philosophy will be the key to our success. The advertising specialty industry expects products to arrive on time with high quality imprinting. Pursuant to these demands:
Elsewares can satisfy this demand through maintaining acceptable inventories that will be delivered on-time according to prearranged shipping schedules.
Elsewares will institute a quality control procedure for overseeing the on-site imprinting facility to ensure an acceptable imprint quality.
Elsewares, in addition to offering a complete line velour packaging materials, will also offer a unique range of promotional products. This will encourage advertising specialist distributors to think of Elsewares when searching for original products.
Pegasus International is the leading manufacturer of inline skate accessories for the inline skating industry. Pegasus developed three useful and innovative accessories for skaters. Pegasus is able to produce worthwhile products because the company is composed of skaters making products for skaters. Pegasus will quickly become a market leader and be recognized as an innovative company in line skating products.
Pegasus Limited Partnership is located in Venice CA. Venice was strategically chosen because it is the international capital of inline skaters and Pegasus can get credible feedback.
The Products
Pegasus currently stocks three products or is soon to release them. BladeBootsTM ™, which is a fabric wheel cover, allows skaters to go into retail stores or travel with their skates while also protecting them and the surface on which they walk. Pegasus’’s second product, SkateSail is an innovative product that has created a new category in line skating and windsurfing. Pegasus has released this innovative product and they are also supporting and growing the new niche sport. SkateAid was their last product.
Market
Pegasus will supply the rapidly growing inline skating market with useful accessories. The market has grown to 31 million with more than 31,000,000 pairs of skates already. 26 million of these skates have been sold to fitness and recreational skaters. This is the primary target market for Pegasus. Pegasus’ market can be divided into five segments: speed, recreational, speed, hockey and extreme skaters.
Management Team
Key to Pegasus’ success is the fact that the entire basis of the company is skaters, not only are the products for skaters but the entire company lives and breathes inline skating. Sal Chavez, the CEO, has 23 years’ experience in skating. Sal is so passionate about skating, he doesn’t own an automobile and commutes by inline skates. Sal has worked for three different companies in the design department. Sal has also spent years in retail environments giving him first hand knowledge of skater’s preference.
Sandi Arnold is Pegasus’ Vice President and is also a true enthusiast. Sandi is a product expert with Rollerblade, a leader in the industry. She has seven years’ experience. Pegasus is supported by Beth Laird as Administrator and Web Master. Pegasus will benefit greatly from Beth’s computer skills. Beth was a member of Inline Skating Today, an industry newsletter that is highly regarded on the Internet.
Pegasus can be described as an exciting business. It uses employees’ passions and promotes the sport by inline skating. Pegasus is expected to reach profitability in the third month. Year one sales are expected be stable and will rise several fold by year three. Pegasus will earn respectable net profit for the years one through three.
1.1 Objectives
We are committed to meeting the skate accessory market demand by providing high quality products.
To develop and manufacture SkateAids by month three.
Skate tours will be created by spring of next year.
To reach profitability by the end the first year.
To inspire our customers to live healthier lives by making it more fun and easy for them to skate.
We offer support to skaters through our website, including interviews with Doctor Kaye (Podiatrist) and answers for specific foot problems.
To build a strong e-commerce market, and maximize our profit margin. Through e-commerce, we make 100% retail profit.
1.2 Mission
Pegasus is looking to fill the market for after-market items, which we have identified from the large amount of skates sold during the past five year.
Pegasus Sports International will establish a service network for in-line skaters by providing products that help people incorporate more skating into their daily lifestyles. Our goal is:
You can use skateboarding to complete local tasks.
You can form a skating community with a strong emphasis on health.
To encourage SkateSailing as a new international sport.
To develop SkateAids and other new products now on the drawing table.
1.3 Keys to Success
Use feedback from skaters to improve the quality of in-line skating accessories
Develop a niche market for our unique skating accessories.
Maximize profits by selling via the Internet at retail prices.
By scheduling and monitoring production, overhead costs can be kept low.
Through interviews published on the website, Dr. Kaye and Podiatrist have developed a network.
Earthly Clean is a new start-up that sells environmentally friendly cleaning products using multi-level Marketing (MLM). Devon McGregor founded Earthly Clean. The company has been registered in Illinois as an LLC.
The Products
Earthly Clean sells all types of non-toxic, eco-friendly cleaning supplies. Earthly Clean has reached a contract with a major manufacturer of cleaning supplies to produce a complete line for private label products. Product prices will be quite competitive since Earthly Clean is buying direct from the manufacturer. Earthly Clean will also benefit from the manufacturer’s willingness for Earthly Clean order as small as $150. This will assist Earthly Clean in their goal of efficient inventory management. The first product line will include an all-purpose soap and bathroom cleaner. Earthly Clean products are competitively priced and of the highest quality.
The Market
Earthly Clean products will be sold to two customers segments. Individual consumers who purchase the products for their own (household) use are the first segment. These consumers are concerned about the environment and are searching for non-toxic cleaners to clean their homes. This group is made up of young, politically-liberal people who are keen to make an individual contribution towards the betterment and protection of our environment.
The second target market segment is a group selected from the individual customers. Some of these individuals can be recruited for distribution of Earthly Clean products. A distributor is a person who sells the Earthly Clean products on their own to their own set of customers. This segment is taken from the actual consumers that purchase and use products. This creates a sales force that passionately believes in the products that they sell. This segment pays a commission to the distributors who are able recruit new distributors and make sales. This is how MLM business models work. Earthly Clean sells directly to consumers. Some consumers are then made into distributors and earn revenue for Earthly Clean. Distributors can then make money by attracting more sales people.
An Efficient Distribution Model
This distribution model is efficient and effective. The products are bought private label directly from the manufacturer, ensuring high quality and low prices. They are then delivered directly to the consumer. The traditional bureaucratic distribution model, which generates huge corporate profits, is now gone. MLM businesses often get confused with pyramid schemes that are illegal in America.
Pyramid schemes offer compensation for new salespeople. The promise of financial rewards is made to people for referring more people, regardless of the sales. This is the critical distinction regulators look at when determining whether a business is a pyramid scheme. It is the way that compensation is rewarded. It is illegal if it is based upon recruitment. Earthly Clean pays distributors for sales. This is to ensure that the distribution and sales channels are efficient and effective.
Earthly Clean is an innovative new business that channels people’s passion to make a positive impact on the environment. They also have the opportunity to make a profit while sharing their passion with family and friends. By carefully using the efficient multi-level marketing business model, Earthly Clean will quickly generate sustainable revenue. Sales forecasts indicate that sales for years two and three respectively will be $90,000 and $125,000. Net profit for those years will be 4.19% and 8.66%, respectively.
1.1 Mission
Earthly Clean’s mission involves the creation of a sustainable distribution company that makes use of grassroots and network marketing to sell the product. Earthly Clean exists in support of its members and to protect the environment.
1.2 Objectives
To start a company that is profitable and sells environmentally friendly cleaning products.
Create an organization where sales are rewarded to individuals who refer others.
Create a marketing machine that is more efficient than the outdated distribution systems.
Success keys 1.3
Distribute only the highest quality products that are also environmentally friendly.
Rehire new employees to help with the sales of the product.
Establish the company on solid foundations of integrity.
Paintball games are the next big thing within the sporting industries. As the #1 sport for growth, paintball is up more than 84% to 9.4 million U.S. players within the past five years according to the National Sporting Goods Association. Harquebus Paintball, Inc., (HPI), will be a small retail company that focuses on paintball in Bombarde County, Ourstate. The prime location of HPI is ideal because it has only two other paintball shops that are not as good as HPI, creating very little competition.
HPI will focus on the sale of quality paintball equipment like guns, parts/accessories and apparel. They also host local tournaments and provide quality services such repair and upgrade of products. To serve the customers needs, all employees must be knowledgeable in the various types of paintball. HPI will have an extreme advantage over the little competition that does exist, as it will have an online store, very competitive pricing, carry a much greater selection, host sales and promotions, gift cards, and membership benefits.
Harquebus Paintball’’s current opportunity to get into the unique paintball industry is unbeatable. This market is relatively new and expanding quickly.
Future Goals and Expectations – HPI’s future goals include a significant expansion through physical storefronts as well as unique high-quality paintball field locations. They also plan to dominate the national retail paintball market. Harquebus Paintball will be the “Best Buy” in the retail paintball market.
Keys to Success. HPI believes that there are certain key factors to success. For example, you must have a product selection, be able to sell products, and have a strong knowledge of your industry.
Ownership. HPI is owned by its CEO Padraich Peard and COO Geoffrey Gunnar. The CFO Petra Pistolero is responsible for day-today operations like inventory upkeep, accounting and financials. Dolores Derringer is responsible for HPI’’s advertising. Claude Carabinerie is responsible for HPI’s service section.
Requirements : HPI will need start-up funds to purchase start-up assets. This includes expenses such as advertising, corporate identity/forms and remodeling. expenses/assets.
Products: HPI will sell a wide variety of quality paintball products such as guns/markers, paintballs, upgrades/accessories, apparel, magazines, paintballs, and hoppers via its physical and online store. You can only get repairs or upgrades to your equipment in the physical shop.
Market: HPI’s market audience will be males, ages 12-24 that actively (actively = plays at least once a month) play paintball in Bombarde County, Ourstate. HPI’s market research revealed that about 3.9% of Bombarde County men aged 12-24 play paintball. 2,144 players. According to the NSGA National Sporting Goods Association, paintball has increased an average of 16.8% per yr over the last five years. HPI believes this is not a fad. They expect paintball to continue to grow in strength and stability throughout the nation. HPI’s marketing strategy includes a strong and rapid approach to its local market. They will be able to dominate it from the beginning and compete with other players through local advertising, giveaways at grand openings, sales, contests, and local advertising.
Industry – The industry of retail paintball includes both online and physical dealers (HPI). Online and physical dealers have their pros and disadvantages. The cons of being a physical dealer include a low product concentration and limited pricing competition. HPI will take the cons of physical/online paintball dealers and turn them into pros, in which Harquebus Paintball will become a dominant paintball retailer.
Retail paintball has many factors that can influence purchase decisions. These include product features and reputations, word of mouth, availability, pricing as well as up-sales, cross sales, and impulse purchases. HPI will make use of all these factors to increase sales, and improve profit margins.
Advantages: HPI will have many advantages over the competition such as hosting sales and promotions, gift cards, membership discount cards, product servicing, online store, larger product selection, an attractive clean store, team sponsorship, and tournament hostings. These advantages will increase Harquebus Paintball’s chances of winning customers.
Marketing Strategy: HPI’s sales strategy will help it gain and maintain customers. It will include sales, promotion, gift cards, membership cards and product selection, all which are not available to the local competitors. HPI projects explosive first year’s sales, and a corresponding net profit.
Web Plans: HPI will have an online home at HarquebusPaintball.com, where potential customers can view and purchase in-store products all from home. Customers will also have the option to buy online and pick up their merchandise from the store, which will eliminate their shipping charges and waiting period on their products. HarquebusPaintball.com will host community paintball news, and have an employee login so that employees may check online for certain duties they may have, and their work schedule. Advertisement for HarquebusPaintball.com will be through in-store banners, TV and radio, web banners, and search engines.
Break even. HPI estimates what HPI needs to sell each month in order to make ends meet with all its liabilities and expenses. HPI does not expect any trouble with meeting this obligation as long as the “keys to success,” and certain goals and objectives listed throughout this plan are achieved. Rent, utilities, insurance and payroll taxes are the current expenses and liabilities.
The purpose of this plan is to provide in-depth detail on how HPI will achieve everything stated above, from its marketing plans to its projected revenues all the way to its web plans.
1.1 Mission
Harquebus Paintball will work hard to ensure its customers are satisfied with their purchases, promotions, sales, excellent services, and, in the future with beautiful tournament-like fields and friendly staff who are highly qualified in the field.
HPI will always be responsive to customers’ needs. Our research department will constantly be providing the store with updated inventory, current trends, improving on areas our competition has already advanced on, and providing what the competition does not.
1.2 Objectives
Harquebus Paintball has two sets of objectives, “short-term” which will be the main focus for the first three years of operation, and “long-term” which will mainly be ideas for the next four years, or until the short-term objectives have been met. The new HPI’s primary objectives will be the longer-term “ideas once the short term objectives have been met.
Short-term:
Your goal is to be the top Bombarde County paintball retailer, servicing at least half of the area’s paintballers.
Host the best promotions, sales, selection, tournaments, servicing (repairs/upgrades) of any paintball store in Bombarde County.
Sell product/service the first year at a rapid-fire rate, sufficient to meet HPI’s approximate break-even revenue.
Sales will increase by 10% every fiscal year
Open a high-quality paintball facility and another HPI retail location in southern Bombarde County.
Long-term:
You can open three additional Harquebus Paintball retail and field stores and shops, one in northern Bombarde County; one in Howitzer County; and one in Cannonade County.
Franchise Harquebus Paintball stores are located throughout Ourstate. From there, you can access the entire U.S.
1.3 Keys to Success
Harquebus Paintball’s success will be determined by the following seven factors:
Sales and Promotions – HPI will offer weekly and monthly sales and promotions to attract customers and outperform the competition. A ‘#8220’ grand opening sale will also take place to attract potential customers.
Selection HPI will offer a broad range of products, ranging from expensive brand names to affordable generic-name brands. HPI will have an 80% larger selection than its current competition.
Service HPI will offer all kinds of popular service in a prompt fashion, such as gun repairing and gun upgrading.
Knowledge HPI’s staff will have a comprehensive knowledge in all areas of paintball. Gun-tech’s and servicemen will be extremely skilled in the field of repairing or upgrading any type product. All staff members need to be available and able answer any question about retail paintball, as well giving wise advice.
Position: The HPI’s location is within a three-mile radius of OPC and Musketeer Paintball, two of the three most popular paintball courts in Bombarde County.
Reputation The HPI must have credibility, integrity, as well as a good name by completing all five of the factors.
Advertising – Each quarter, HPI will use radio and television to advertise the HPI brand and bring in new customers.
Both in scope and nature, the marketplace for janitorial services and products is changing. As cleaners are more widely available, consumers are becoming more aware of the impact on the environment.
ChemSafe offers a innovative line of biodegradable, environmentally safe, citrus cleaners to janitorial services, retail outlets and consumers.
This product line contains:
Automotive cleaners
Industrial cleaners;
Degreasers;
Use hand cleaners
Odor control;
Tar remover
Concrete cleaners;
Car wax and vehicle washing products
ChemSafe products are available for use by car washes as well as churches, food service outlets and hospitals. A number of ChemSafe products will be available from retail outlets and any product can be purchased from the company’s secure website.
Today, cleaning products’ safety is of greater concern than ever. Consumers want to know if the product they are using damages the environment. ChemSafe is committed in providing safe products to protect the environment.
1.1 Objectives
Establish ChemSafe products as the regional leader in selling biodegradable, environmentally safe, cleaners.
Over the next two year, increase the number and quality of ChemSafe products in retail outlets by 20 percent
Establish a strong working relationship with all the janitorial companies in the region.
1.2 Mission
ChemSafe’s mission is to introduce innovative cleanser products to its target customer base. Charles Marshall, owner of ChemSafe, will utilize his janitorial background, his experience in the cleanser products industry, and his contacts with the region’s wholesale distributors and janitorial companies to create products that target consumers want.
1.3 Keys to Success
ChemSafeՉ۪s success is dependent on the following:
Innovative janitorial solutions. This is crucial for maintaining niche market segments mentioned in our mission statement.
Reliable and timely delivery. ChemSafe must make good on its delivery promises.
A reliable administration that is available for customers to prepare accurate billing, follow up on orders, and keep a close check on expenses and collection of receivables.
Hair Recycling Technologies’ (HRT) area of business will be to: collect, sanitize, and market human hair to be used as a consumer good. The home gardener will enjoy hair’s many elements and strong scent. Our products for recycled hair will be beneficial to them.
The product’s ability encourage healthy plant growth and repel unwanted pests will bring benefits to the customer. Hair Recycling Technologies is initially going to manufacture three products: SMARTSOIL, HAREAWAY pest deterrent, as well as an organic plant food that’s specifically made for rose bushes.
Hair Recycling Technologies is entering the niche market. Human hair has never been sold in this way before. This business is unique and viable and will reach a high-growth market. Because of these factors, the venture is highly innovative and has high potential.
One of its most appealing aspects is that investors will be repaid within one year. The company also will have a positive cash position. The business is expected to break-even in month nine of the first year.
Our in-depth research pertaining to human hair’s positive elemental characteristics and its many potential uses is well advanced. Even though this research will be an ongoing process for the company, initial results have been shown to be positive.
The Horticulture Department at the University of Georgia has shown interest in this concept and HRT plans to work with the department to research and test the use of human hair as a plant growth promoter. Our product was also highly sought after by South Bend nurseries.
1.1 Keys for Success
For businesses that own barber shops or beauty salons, hair clippings have been an inconvenient waste problem. Human hair is commonly disposed at large volumes in municipal landfills, especially in cities that have a lot of waste. Over the past decade, recycling municipal solid refuse has seen an increase in both composting and recycling due to federal and State mandates. In 1997, there were over 9,000 curbside recycling programs and 12,000 drop-off centres for recyclable material in America. The EPA has set a target to recycle 35 per cent by 2005. However, the daily per capita solid waste generation is still at 4.3 pounds per individual per day. This allows you to recycle landfill-bound waste, and gives you the opportunity to give your hair the many benefits it can offer.
Our research has shown us that clippings of hair from humans have a very high nutrient-value and, when used with potting soil will make a higher quality fertilizer and plant food than what is currently available.
Human hair, along with silk, wool, and other organic material, has a high amount of nitrogen. Nitrogen encourages tissue development. An enormous amount of nitrogen can be recovered if the sweepings from a barbershop were used regularly to make compost heaps. Six to seven pounds of human hair contain approximately one pound of nitrogen, as much as found in 100 to 200 pounds of manure. Hair can also be disintegrated as quickly as feathers as long as it is stored in a well-moistened compost pile.
William Stafford, Austin Texas, has conducted experiments on 32 varieties of roses. These results show that human hair placed around the roots produces taller stems, bigger buds, and deeper tones. Stafford tested hair at the roots of roses and discovered that it could accelerate their growth. However, it did so slowly as it took the hair many months to die. Stafford created a plant recipe that HRT can reproduce from his experiments. Stafford’s rose recipe is not subject to patents.
1.2 Mission
Hair Recycling Technologies will provide a consumer with a valuable resource to recycle human hair. We want to encourage a positive outlook on recycling and the environment.
1.3 Objectives
The concept of recycling human hair to be used as a plant food, soil enhancer, and animal deterrent is unique and innovative to the plant and gardening industry. We believe this product will succeed in the market due to its unique feature and the many benefits it can offer to the gardener.
This product is appealing because it’s organic and growing in demand. But also because of its marketable advantages.
OSS Telecom Technology in Bend, Oregon is a branch of OSS Telecom Technology Taiwan which is a $300 Million steel conglomerate. To explore opportunities in the telecom industry’s operations support systems (OSS), the main company was created. They have 24 telecom operators that use their software.
OSS Telecom Technology intends to pursue several objectives which will allow them rapid market penetration. The first objective is the creation of a high quality, high value product for telecom companies. It is crucial that internal operations can develop top-quality human assets by offering training and other incentives. Lastly, OSS Telecom Technology will pursue a customer intimacy model. This particular business model will ensure that customers are satisfied.
The products
OSS Telecom Technology is a provider of OSS-based products for the support of the telecom industry. CARIBOU, which is a subscriber billing solution, was their first product. Within the CARIBOU package, traffic processing, bill generation, accounts payable, system administration, packaging, and customer care and administration are addressed. Each module within CARIBOU consists of its own robust application.
OSS Telecom Technology also offers the MEDUSA product. The MEDUSA product is a network support solution that allows for configuration, control, as well as management of network components.
The Market
The potential market for OSS Telecom Technology’s products is enormous. This is evident by the seemingly unstoppable growth in the telecom industry. The telecom industry is the largest growth industry at the moment and has contributed huge capital market gains. As a subset of the telecom sector, cell phones are growing at rates that were once unimaginable. One example is that the industry predicts that within two years, cell phones will be used by 65% of all children between the ages 10-15. Broadband Internet service is also expected to see record penetration. In three years, it is projected that 85% percent of the population will have broadband access with 60% of them subscribing.
OSS Telecom Technology aims at two market segments. The first segment is Tier 2 telecom operators. This segment has an 8% annual growth rate and 481 potential customer. Tier 3 telecom providers will be the next targeted market segment. While the annual growth rate of this segment is less at 6%, there are more potential customers, 2,011.
Management Team
OSS Telecom Technology has put together an experienced management team to lead the organization through this dynamic industry. The industry experience of the assembled team played a major role in their selection. Because the telecom industry is highly technical, it is crucial to have detailed information and insight into this niche sector. Victor Smith has been appointed CEO. Victor has 25 years’ telecom experience. The last 12 years Victor has severed as COO of Atlas Telecom, a major player. Kenneth Jones is another Atlas Telecom executive. Kenneth Jones, who is the Executive vice president, has previously served as an executive at Harris Corp and NCR Corporation. Kenneth was involved in a variety of projects and brings a unique skill set to OSS Telecom Technology. James Jackson is an Executive Vice president with experience from IBM and Atlas as well as Mosaics, Lotus Development Corporation, and Mosaics. Ken Smith, a subject matter expert from MIDCOM Communications or US Intelio Networks, completes the management group.
OSS Telecom Technology will achieve the Break-even point by leveraging its strong management team and superior product offerings. After a Net Loss in year one, Net Profit will become positive at the end of year two, but will leap up in year three. The forecast for OSS Telecom Technology sales is moderate in year 1, but will see a large increase in year 3.
1.1 Objectives
OSS Telecom Technology’s operating system is designed to meet our objectives, which include:
Developing OSS Solutions for Telecom Operations.
Bringing high value, high quality products to market.
Through training and competitive incentives, we aim to develop human capital.
Implementing a customer intimacy model.
1.2 Mission
Our mission is to provide high-quality, convergent OSS solutions for telecom operators around the world. These scalable solutions will provide unparalleled support to allow for flexibility and meet–s needs.
Meet or exceed customer expectations
Success keys 1.3
Strategic Imperatives
OSS Telecom Technology makes clear strategic choices to fulfill its mission. These choices are based on two key elements:
The OSS market
The capabilities of the company
These choices are key strategic imperatives, which OSS Telecom Technology will pursue to become a leader within the OSS market. The telecom market has three levels. Tier 1 are operators with a subscriber base above one million, Tier 2 are operators with a subscriber base between 100,000 and one million, and Tier 3 operators are those with less than 100,000 subscribers.
Value-focus OSS Telecom Technology will target Tier 3 operators by providing fully featured, scalable, and reliable service and products at affordable prices. OSS Telecom Technology’s software products will have a lifecycle cost that is 20-40% lower than Tier 1 competitors like Kenan and LHS, but still offer all the services and features offered by these companies. OSS Telecom Technology’s features and services will outshine any Tier 3 competitor, Moscom.
Wireline & Product Portfolio OSS Telecom Technology’s product range will change from Global Systems for Mobile Communications. It will now include other wireless, fixed and Internet-based billing solutions. OSS Telecom Technology has already expanded its product offerings to include local loop billing, convergent billing, and other key customer needs.
Engineering Center of Excellence: OSS Telecom Technology will continue to develop its low cost, high quality software development and programming center in Taiwan, which provides significant cost advantages over U.S. and Europe-based competitors.
Consulting Services: OSS Telecom Technology will combine consulting services with products to develop strong customer relationships and advance its product offerings. The provision of consulting will allow us to be more specific and relationship-driven with our customers. OSS Telecom Technology will pursue those projects which can be made into products and marketed to other potential customers. OSS Telecom Technology uses strict criteria when deciding on which consulting service projects it will undertake. The project will be canceled if it is not possible to “productize” or replicate the solution that has been developed.
Selling Channels – A multi-national team of marketing and sales will establish both direct and indirect sales channels. OSS Telecom Technology established a network with experienced and incentivized marketing and sales personnel in order to maximize the opportunities in each area. These teams will create both direct customer relationships (through systems integrators and switch manufacturers, for example) as well indirect channels. OSS Telecom Technology will gain significant leverage through the indirect channel partners. OSS Telecom Technology will dedicate resources to developing its indirect sales channel partnerships. Partners such as Compaq will allow OSS Telecom Technology to gain geographic reach, credibility, and customers which would not otherwise be possible. Specific partner support programs will be put into place to ensure cultivation of these partnerships.
