Business Plan for Fat Evanesce: International Management Report

This report presents a detailed business plan for the launch of 'Fat Evanesce,' a weight-loss pill. The plan includes an executive summary, marketing and sales strategies, operational considerations, milestones, and success metrics. The marketing plan outlines a budget of $19,000, covering promotional tools like sales promotion, social media marketing, and print advertisements. The company will adopt a product development strategy targeting the Canadian market, with a premium pricing strategy aimed at medium to high-income consumers. Distribution will be through brick-and-mortar stores and an online website. The report analyzes the competitive landscape, including competitors like Holy Grail and Garcinia Cambogia, and conducts a SWOT analysis, highlighting the product's attractiveness and health benefits as strengths, while acknowledging the challenge of building customer trust as a weakness. Opportunities include the rising obesity rate, while threats encompass competition and legal issues. The report concludes with a summary of the key findings and recommendations for the successful launch of 'Fat Evanesce.'

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1. Executive summary
The report will include a business plan for an innovative product accomplishment that is
“a pill that will make lose weight” without exercising or dieting that is fat evanescence. The
marketing plan of the company has a budget of $19,000 that included costs over promotional
tools like sales promotion, social media marketing, and printed advertising. The company would
adopt product development strategy to offer to population of Canada having issue of overweight.
The company premium pricing strategy leads to target medium to high-income group. The
company would reach out to customers through brick and motor store in Canada or online
website. The competitors of the company include Holy Grail, Garcinia Cambogia, medical
treatments, and physical activities centre.
Major strengths of the company included attractive product and good for health and
weakness of the company included the inability to build customer trust easily. The opportunities
for the company would be an increase in obesity in the population and expansion strategy.
However, the threats for the company were competition and legal issues.

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Contents
1. Executive summary.....................................................................................................................1
2. Execution.....................................................................................................................................3
2.1 Marketing sales plan..............................................................................................................3
2.1.1 Marketing objective:.......................................................................................................3
2.1.2 Marketing mix strategies................................................................................................3
2.1.3 Marketing budget............................................................................................................4
2.2 Operations..............................................................................................................................5
2.3 Milestones..............................................................................................................................6
2.4 Metrics for success................................................................................................................7
3. Opportunity..................................................................................................................................8
3.1 Target market.........................................................................................................................8
3.2 Competition...........................................................................................................................9
3.2.1 Direct competition..........................................................................................................9
Indirect competitors...............................................................................................................10
3.3 SWOT analysis....................................................................................................................10
Strengths................................................................................................................................10
Weakness...............................................................................................................................10
Opportunities.........................................................................................................................11
Threats...................................................................................................................................11
4. Conclusion.................................................................................................................................12
References......................................................................................................................................13

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2. Execution
2.1 Marketing sales plan
Marketing plan for “Fat evanesce,” a fat burning pill would include various stages
2.1.1 Marketing objective:
 Increase Customer base – The objective of the marketing plan would be to reach out to
maximum customers in next six month through enhanced brand awareness.
 Quick Return on investment – The objective of the marketing plan would be to gain
return from investment in the launch of this product within the next eight months (Adam
& Kotler, 2014).
2.1.2 Marketing mix strategies
 Product strategy – Considering the Ansoff’s matrix, an appropriate strategy for the
company would be product development strategy that is offering a new product, which is
a pill help losing weight to the existing market that is Canadian market.

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Figure 1: Ansoff's strategy matrix (Aksoy, 2018)
 Pricing strategy – The Company is offering a unique product for which the company can
ask for a premium price from the customers. Therefore, it can be said that the company
would adopt the premium pricing strategy for this product.
 Placing strategy – This placing strategy would include a combination of brick and motor
store in some of the popular area or area near best-located gyms. For example, one of the
locations would be near Sylvan Lake in Canada, as one of the best gyms that are “best
body fitness” is located there. Moreover, the company can reach out to the customer
through the online sale of goods.
 Promotion – Some of the promotional tools used by the company would be social media
marketing through real-life examples, or customer review to build trust. Moreover, sales
promotions like launching code for online customers or samples distribution. other than
these two tools, traditional marketing tools like printed advertisement like through
newspaper and pamphlets would also be used for marketing communication (Chari &
Feng, 2018).

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2.1.3 Marketing budget
The budget would be the plan, where the overall budget available for marketing and sales
of goods would be $19,000. The budget plan is presented in the below table:
Marketing tools Cost (in Canadian dollars)
Sales promotion 5000
Social media marketing 6000
Advertisements (Newspaper) 5000
Advertisements (Pamphlets) 3000
Total cost 19,000
2.2 Operations
Operations play a vital role in business, in order to turn the opportunity in the actual process
to gain output out of this. Various aspects that would be included in operations of Fat evanesce
business are:
 Human resource management – Processing of inputs are not possible without the
effective human resource of the company. This would include recruiting and providing
training to the employees of the company to gain a competitive advantage.
 Technological use – The use of advanced technology for developing product and
technological use in the sale through an online website, needs to be managed and used to
reduce the cost of the product and improve the quality of the product.

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 Supply chain management – Managing the supply chain is very essential to be conducted.
This would include procuring raw material like fruits extract through which the pills
would be prepared, or the packaging material (Melnyk, Swink, & Hartley, 2017).
 Licencing and legal issues – Operation management also include taking a licence for the
product s there are various licenses that have to be taken as this pill would come under
pharmaceuticals legislation, which include health and safety licenses in the nation. For
example, the drug establishment license is to be applied before manufacturing or offering
the pills in the market (canada, 2019).
 Manufacturing – This would include the process of inputs which would require purchase
decision of material required like raw material, machines and equipment’s and actual
processing of products to convert into the output that is in form of pills (Hitt & Xu,
2016).
2.3 Milestones
Milestones would include a structured schedule for various activities considered by the
company before and after the product launch. In the below table, the milestones chart would be
presented:
Action Scheduled time Details
Research on the overweight
population
5 months Analysis of the overweight
population in Canada
Procure licensing 2 months Apply and procurement of
license and other legal
formalities

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Product manufacturing 8 to 10 months Product development while
assuring quality and
effectiveness
Promotions 5 months Pre-launch promotion through
various tools and publicity
Store opening 6 to seven months The opening of 5 stores in
Canada (as discussed before)
Hiring human resource 4 to 5 months Hiring salespeople and human
resource with core
competencies required
Online distribution channel 10 to 12 months To increase product sale
through online to reach out a
wide area
2.4 Metrics for success
Factors that represent the success of the brand would include
 Customer feedback –customer satisfaction would be analysed through Feedback by the
customer through online sites or feedback taken by the brand from existing customers.
The feedback could also be asses by a number of likes by the customer at social media
pages.
 Increase in the sale – The sales figure would reflect the success factor of the company
that is the increase in the sale of product within a year at least by 10 percent would

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indicate the success of the product launch. This would also help in analysing the growth
of the company and the demand forecast for the company.
 A number of customer visiting website – The success of brand awareness and marketing
campaign can be analysed by the number of customers visiting the website of social
media pages in a day.
 Increase in customer repetitive purchase –customer loyalty or customer trust can be
analysing through repetitive purchase by customers (Chari & Feng, 2018).
3. Opportunity
3.1 Target market
As already discussed, considering the geographical aspect the target market would be
Canada. Further classification of customer segment would include:
 Income group – Due to the premium pricing strategy the target market considering
income group would be medium to the high-income group.
 Customer behaviour – The customers more interested in having fast food would be
targeted. The reason being the pill is responsible for an increase in metabolic rate in
human’s body to make fast food to be digested effectively and help not converting the
calories into fat.
 Overweight customer – Canadian overweight population would be targeted; the reason
being Canada is one of the top ten most obese nation in the world (publichealthliteracy,
2019).

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Figure 2: (Source: (publichealthliteracy, 2019)
 Age group – Young and old age people would be targeted. The reason being young
people would prefer to test various products for their benefit. Moreover, old age people
are not able to go to the gym or not able to involve in physical activities, which make
taking these pills more feasible.
3.2 Competition
3.2.1 Direct competition
 Holy Grail – it is one of the weight loss drug found effective and safe for losing weight
available in most of the nations. This could be the direct competitors for Fat evanesce
(globalnews, 2019).
 Garcinia Cambogia – This is a weight loss supplement, which is very popular globally,
which could be another major competitor of Fat evanesce (nccih.nih.gov, 2019).

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Indirect competitors
 Medical treatment – In today’s world with the increased availability of medical
treatments, there have been various operations available through which the weight can be
reduced or the fat can be removed from the body like liposuction surgery (plasticsurgery,
2019).
 Physical activities centre – Gym, Zumba centres, Dance studios, Yoga studios are still the
major approach adopted by the customer to reduce weight, which makes it major indirect
competitors (Doole & Lowe, 2008).
3.3 SWOT analysis
Strengths
 Attractive product - This is a product attractive by people with obesity and not willing to
reduce weight through physical activity and do not have patience to work out for months
to get lean.
 Good for health – This pill contains nutrients that are not only responsible for losing
weight but also enhance the health of an individual and increase in metabolic rate of an
individual (Hunt & Bicen, 2017).
Weakness
 Customer trust – Building trust is very difficult because health issues are involved, and
people are not able to trust in any such magical pill to reduce weight unless there are
proves. Moreover, it has been believed that such pills could have side effects on the body
in the near future.

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Opportunities
 Increase in obesity rate – Increase in overweight population would increase the
opportunity for the company to increase its customer base.
 Expansion strategy – The Company can go international with the product to offer in other
western nations as well.
Threats
 Competition – As already discussed there are various direct and indirect threats to the
company (globalnews, 2019).
 Legal issues – The nation’s laws and regulation or any change in legal laws pertaining to
drugs manufacturing could affect the business adversely.

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4. Conclusion
From the report it can be concluded, that fat evanesce is a fat burning pill for which
business plan was prepared. This included increase customer base and quick return on
investment as marketing objectives. The company would adopt a premium-pricing strategy and
product development strategy to offer Canadian market. The competitors of the company include
Holy Grail, Garcinia cambogia, medical treatments, and physical activities centre.

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References
Adam, S., & Kotler, P. (2014). Principles of marketing. Australia: Pearson Australia.
Aksoy, S. (2018). Applying Ansoff’S Growth Strategy Matrix To Innovation Classification.
International Journal of Innovation Management, 1850039.
canada. (2019). drugs-health-products/compliance-enforcement/establishment-licences.
Retrieved from canada: https://www.canada.ca/en/health-canada/services/drugs-health-
products/compliance-enforcement/establishment-licences.html
Chari, S., & Feng, H. (2018). Research in marketing strategy. Journal of the Academy of
Marketing Science, 1-26.
Doole, L., & Lowe, R. (2008). International marketing strategy: analysis, development and
implementation. Cengage Learning EMEA.
globalnews. (2019). weight-loss-drug-approved. Retrieved from globalnews:
https://globalnews.ca/news/4414557/weight-loss-drug-approved/
Hitt, M., & Xu, K. (2016). Resource based theory in operations management research. Journal of
Operations Management, 41, 77-94.
Hunt, D., & Bicen, P. (2017). The FREE (Firm Resources and External Environment)
Framework as an Alternative to SWOT: An Abstract. In Academy of Marketing Science
Annual Conference, 49.
Melnyk, S., Swink, M., & Hartley, J. (2017). Managing operations across the supply chain. New
York: NY: McGraw-Hill Education.

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nccih.nih.gov. (2019). health/garcinia. Retrieved from nccih.nih.gov:
https://nccih.nih.gov/health/garcinia
plasticsurgery. (2019). procedures/liposuction. Retrieved from plasticsurgery:
http://plasticsurgery.ca/procedures/liposuction/
publichealthliteracy. (2019). childhood-obesity&category. Retrieved from publichealthliteracy:
https://publichealthliteracy.org/category-details?childhood-
obesity&category_id=UW1NQVhaMXdaYzVJT3hCM3pVZjN2QT09