Newland Strategy Moving Forward

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P1) Evaluate the opportunity. Examine Newland’s strategy in light of the special circumstances in this industry. What is your recommendation for moving the company forward? The strategy for Newland was to find a proven market demand for the SRS (Stone Removal Stent) so it could be acquired. The original idea was to produce a product that would minimize discomfort for patients. An opportunity was born when they realized this product would answer the problem of how to remove the stones from the ureter, which made it a very competitive product to pursue in the stent market. Obtaining a patent for the device helped Newland establish an entry barrier for competitors in order to cash in the innovative stent. Newland also seemed to have established a diverse team. It was a minor flaw that doctors were not involved in the initial trials to point out some critical design flaws. It is important to have proper market research by talking to customers or the end user before continuing on. This happened to turn out alright though since Newland was forced to have several suppliers where quality could be monitored more closely. Although quality was improved, manufacturing lead time was reduced in order to coordinate several different suppliers.. Newland was debating whether to focus on improving manufacturing capacity, which would boost appeal as an acquisition for potential buyers. I would recommend that they do pursue investing in manufacturing to help sell their product since their original strategy was to have the company acquired from outside investors. Since it is early in the acquisition stage this information would be more appealing to prospective parties. When the idea to sell Newland arose much earlier than planned, it created issues with the partner Taylor Medical Supply. Newland should of been up-front with disclosing the information that they were looking to

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