BUSINESS MANAGEMENT.

Running head: BUSINESS MANAGEMENT
Business management
Name of the student
Name of the university
Author note

1BUSINESS MANAGEMENT
Executive summary
The aim of this report is to discuss about the potentiality of a new business model in New
Zealand. It is recommended that Medigo will be introduced in the e-business by offering online
medical services. In doing so, this report discussed about different elements of the e-business
such as the mission statement of the new entity, goals and business models to be followed. It is
concluded that they should follow online marketplace and aggregator business models. The
service mix strategies are also discussed along with identifying the core competitors of Medigo.
It is concluded that competition for Medigo will be higher in the near future.

2BUSINESS MANAGEMENT
Table of Contents
Introduction......................................................................................................................................3
Mission statement........................................................................................................................3
Goals............................................................................................................................................4
SMART objectives......................................................................................................................5
Value propositions.......................................................................................................................7
Business models...........................................................................................................................7
Service mix strategy....................................................................................................................8
Determination of the target market..................................................................................................9
Quantitative analysis..................................................................................................................10
Competitor analysis.......................................................................................................................11
SWOT analysis..........................................................................................................................11
Conclusion.....................................................................................................................................12
Reference.......................................................................................................................................13

3BUSINESS MANAGEMENT
Introduction
In the current business scenario, e-business is one of the most popular and emerging
business concepts for the entities. This is due to the fact that internet boom has given huge
opportunity and e-business is having no geographical limitations in their operation. However,
initiation of the e-business will prove successful only when the proper value proposition can be
delivered to the target customers (Veit et al., 2014). Hence, the industry should be identified for
the maximum potentiality from the e-business along with offering added value propositions to
the customers. New Zealand is one of the leading countries with having improved healthcare
services and good number of entities operating in this sector. This sector is already saturated and
chances if gaining profitability is less. However, with the help of the e-business concept,
profitability can be gained from the existing resources. Medigo will operate in the healthcare
sector in New Zealand and will offer online healthcare services across different segments
(Mazzarol, 2015).
This report will discuss about the business model and concepts to be followed by Medigo
along with discussion on their analysis of the target market customers. In addition, this report
will also identify the major potential competitors for Medigo and compare them with the value
proposition of Medigo. SWOT analysis will be done to identify the competencies of them and
the extent to which they can be successful in the business.
Mission statement
The mission statement of Medigo will be to offer the holistic healthcare services to the
customers in minimal cost and to the reach the services to every corner of the country. Thus, the
inclusion of different types of services to be offered in the mission statement will help to aware

4BUSINESS MANAGEMENT
the customers about the diverse service offerings. In addition, the cost is also being included in
the mission statement, which also attracts the customers. This is due to the reason that majority
of the patients expect cost effective and quality healthcare services. Lastly, the point of reaching
to every corner of the country denotes the mission of Medigo to cater to customers across
different price points and segments. This can be concluded that the mission statement of Medigo
has included all the required provisions and it rightly communicating the business approach of
them.
Goals
 Becoming the market leader in online healthcare sector in New Zealand in terms of both
market reach and revenue. This will ensure the business viability of Medigo in the long
term.
 Becoming the best healthcare vendor in terms of customer satisfaction. The customer
centric activities that will be initiated will help to achieve the highest degree of customer
satisfaction and loyalty.
 Becoming the best employer in the country among the existing and potential employees.
Employee centricities will also be maintained in the workplace to have the best
management of them and better service delivery process.
 Offering all the core and auxiliary services related to healthcare in phased manner. This
will help to have diverse service portfolio and market presence.
 Entering in the foreign market to develop new markets and opportunities with the same
online healthcare services.
 Becoming the major complementing support for the global customers in terms of
healthcare services.

5BUSINESS MANAGEMENT
SMART objectives
Specific Measurable Achievable Relevant Timeline
Gaining the
majority of the
customers
10 percent in the
first year
e-business is
highly penetrated
in New Zealand
Helps in increasing
the revenue
1 year
Gaining the
majority of market
region
40 percent in the
first year
New Zealand as
country is small
Helps in creating
potential
customers
1 year
Creating
awareness
70 percent in the
first year
Social media is
highly penetrated
Helps in reaching
to new regions
1 year
Determining the
customer needs
Measuring the
change in the
needs of market
Engaging with the
customers deeply
Will help to offer
more relevant
services
6 months
Coping up with the
change in the
market
Compare the
customer data and
information
Review the sales
performance
Will help to stay
viable
6 months
Adding more
conveniences
Offering newer
added services
Can add as
extension to the
existing portfolio
Will help to
increase customer
satisfaction
1 year
Effectively
managing the
employees
Determining the
performance of the
employees
Ensuring the
higher productivity
Will help in
reducing average
cost
1 year
Changing Compare with Flexible process Satisfied 1 year

6BUSINESS MANAGEMENT
approach with their
needs
newer approaches employees
Managing
diversity
Determine the
advantage of
diversity
Ethical regulations More workforce
diversity
1 year
Gaining service
diversity
Offering newer
services according
to market trends
e-business is
flexible
More target
customers
1 year
More
complementary
services
Vertical
integration
Customer services
will be more
holistic
End to end
services
1 year
Diversifying the
website
Adding more
aspects
Websites can be
altered
Better customer
management
6 months
Entering in
neighboring
countries
Measuring the
change in market
size
Free trade
agreements
Increase in revenue 1 year
Offering new
services
Potentiality in the
new countries
Investment
incentives
More service
diversity
1 year
Catering New
Zealanders in
foreign land
Measuring the
large number of
New Zealanders
Huge presence
across the world
Global branding 1 year
Base to all
healthcare services
Becoming the
primary step of
Online services are
being outsourced
Assured revenue
sources
1 year

7BUSINESS MANAGEMENT
availing healthcare
Offering
distinctive services
Not having
substitutes
Different services
can be introduced
Monopoly power 1 year
Higher customer
traffic
Major chunk of
patients with this
website
No limitations of
traffic in website
Greater bargaining
power
1 year
Value propositions
The value propositions will be the cost effectiveness and conveniences to be offered to
the customers. This is due to the reason that customers surfing through the website will not have
to pay any subscription fees but they have to pay only when they are booking an appointment.
Thus, the basic charge rate is nil for the end customers (McElheran, 2015). This will be an added
value for the customers as no other service providers are offering this service at no cost. On the
other hand, another value proposition for Medigo will be their holistic service portfolio due to
the reason that with the help of this portal, patients can be able to search different hospitals based
on their budget requirements and even have the access to view the feedbacks given by other
users (Aithal, 2015). They can book appointments for doctors and other healthcare services also.
Thus, prior to the selection of a doctor or hospital, these reviews will help to identify their
service quality. This will also act as the added convenience for the customers.
Business models
One of the most suitable business models for Medigo is aggregator because under this
business model, they will accumulate the services of different service providers and act as the

8BUSINESS MANAGEMENT
secondary service providers to the customers. Thus, service offerings of the hospitals and doctors
in New Zealand will be offered by Medigo in online medium and will add convenience to the
customers (Bocken et al., 2014). Another probable business model for Medigo is online
marketplace. This will enable them to offer an online medium with customer traffic to different
healthcare providers where they will be competing with each other. This will help in initiating
price war and end customers will gain more cost effectiveness in availing the services.
Service mix strategy
Service The service to be offered by Medigo will be diverse in nature and the customers
will be having the access to different solutions of their health related issues. The
services will also be changed with time and according to the change in the market.
Thus, the customers will always have the solution to their evolving health issues.
Moreover, the y will also have the facility of providing their reviews in the portal,
which will further ensure the customer centricity of Medigo.
Price In the case of the end customers, price will be nil due to the reason that the portal of
Medigo can be surfed in no cost. However, they have to pay the certain amount for
any appointments. These price points will not be set by Medigo, rather it will be in
accordance to the pricing strategy of the respective healthcare providers. However,
due to the probability of price wars, it is expected that the end customers will have
the access to the services in much lower cost compared to that they are paying in
traditional way.
Place Online mediums will only be offered as the distribution medium and it will ensure
that market reach and penetration is more. This is due to the reason that online
mediums are not having any geographical barriers and New Zealand is having

9BUSINESS MANAGEMENT
higher reach of internet services. Moreover, with the help of the online services, the
services will also be available at any point of time that will further contribute in
gaining customer conveniences.
Promotion Promotion will be done mainly through the social media due to the reason that it
will be cost effective and having higher market reach. Moreover, with the help of
the social media, customer reviews and feedbacks can also be gained, which will
further help to develop and improve the service delivery process. However, in the
later stage, extensive media such as print and television media can be used based on
the business viability.
Determination of the target market
Demographic In terms of the demographic segments, customers between the age group of 20
and 60 will be targeted as the primary target group. This is because these age
groups are having the need for better healthcare services along with having the
knowledge of using the internet. Both the genders will be targeted equally.
Geographic In terms of the geographic segmentation, tier I cities will be targeted in the
initial stage to gauge the acceptances of the concept in the market. In the later
stage, tier II and III cities will also be targeted if enough opportunities can be
identified.
Psychographic In terms of the psychographic segmentation, tech savvy customers will be
targeted who will be comfortable with online services. Moreover, cost
conscious customers will also be targeted as they will be attracted by cost

10BUSINESS MANAGEMENT
effectiveness of Medigo.
Quantitative analysis
Q. Will you prefer online healthcare service rather than visiting physically?
Age groups 18-30 30-45 45-60 60-80 Total
Responses 20% 30% 30% 20% 100%
18-30 30-45 45-60 60-80
0%
5%
10%
15%
20%
25%
30%
35%
20%
30% 30%
20%
Q. Will you prefer online services over the traditional healthcare services?
Tier I cities Tier II cities Tier III cities
Responses 60% 30% 10%

11BUSINESS MANAGEMENT
Tier I cities Tier II cities Tier III cities
0%
10%
20%
30%
40%
50%
60%
70%
60%
30%
10%
According to the above quantitative data, this is identified that majority of the middle
aged customers are having the preferences for the online healthcare services. In addition, this is
most of the tier I customers are having the preferences for the online services over other regions.
Thus, in the initial stages, tier I cities will only be targeted.
Competitor analysis
The closest competitor for medigo will be managemyhealth due to the reason that they
are also offering the different healthcare services in New Zealand. The next important competitor
will be doctor2go followed by vensahealth and vickparkmed. However, all these players are
having limitations in terms of service diversity. Indirect competitors for Medigo will include the
leading hospitals and clinics in New Zealand. They are also offering online services of their own.
comparison between the websites of the direct competitors of Medigo concluded that added
services such as medical insurance and ambulance facilities are not available, which will be
made available even as complementary in the website of Medigo.
SWOT analysis

12BUSINESS MANAGEMENT
Strengths  Service diversity
 Vertical integration
 Countrywide presence
 Cost effectiveness
Weaknesses  No brand identity compared to their competitors
 Uncertainties regarding business viability
 Huge cost involved in website development and management
 Depended on third party service providers
Opportunities  Entering in the foreign market
 Diversifying the existing service offerings
 Introducing own clinics
Threats  Emergence of new competitors
 Online services by the hospitals
 Technical difficulties in online services
Conclusion
Thus it can be concluded that e-business is having good opportunities in New Zealand
and online healthcare services will also have untapped market. It is recommended that Medigo
will be introduced, which will offer different medical facilities to the customers at their
conveniences. This report also discussed about the different determining factors for the business
viability of Medigo along with their potential threats and challenges.

13BUSINESS MANAGEMENT
Reference
Aithal, P. S. (2015). Concept of Ideal Business & Its Realization Using E-Business
Model. International Journal of Science and Research (IJSR), ISSN (Online), 2319-7064.
Bocken, N. M., Short, S. W., Rana, P., & Evans, S. (2014). A literature and practice review to
develop sustainable business model archetypes. Journal of cleaner production, 65, 42-56.
Mazzarol, T. (2015). SMEs engagement with e-commerce, e-business and e-marketing. Small
enterprise research, 22(1), 79-90.
McElheran, K. (2015). Do market leaders lead in business process innovation? The case (s) of e-
business adoption. Management Science, 61(6), 1197-1216.
Veit, D., Clemons, E., Benlian, A., Buxmann, P., Hess, T., Kundisch, D., ... & Spann, M. (2014).
Business models. Business & Information Systems Engineering, 6(1), 45-53.