Plan Outline
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SIC 2676 Paper and Allied Products - Sanitary paper products
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Diaper Manufacturer Business Plan
Baby Nappies World
Products
Baby Nappies World intends to manufacture and sell disposable baby nappies, geriatric/adult diapers and sanitary pads. These products shall be of high quality standard so as to ensure customer satisfaction and meet all the customers' requirements.
3.1 Product Description
Baby Nappies World initially intends to focus on the production of the following products:
- Baby Nappies
The disposable nappy may be described as an invention that revolutionized the baby care industry. It exists today as a practical solution to the problem of dirty, smelly, wet baby bottoms throughout the world. The vast amount of births here in Botswana dictates that the baby nappy is very much in demand, and that demand continuously increasing. With this in mind we intend to produce a quality nappy. Our diaper will have (discussion omitted). - Geriatric/Adult & Sanitary Pads
These are mainly used in medical institutions such as hospitals and clinics where patients often require disposable pads to overcome the problem of dirty, smelly and wet bottoms. This is particularly so as these adult patients are incontinent and often do not have the ability to control their bladder. The (discussion omitted).
3.2 Competitive Comparison
There is very little competition from local companies manufacturing products similar to our main products. However considering the pace of change and current growth rate of the economy luring companies into the market, this may be short-lived. Hence there will be a need to not only firmly establish ourselves in the market, but also strongly differentiate ourselves from these other businesses. However on a broader scale our competition comes in several forms:
- The most significant competition are South African manufacturers of diapers and sanitary pads including reputable brands such as X and Y, which have a well established distribution network in place. This network ensures that their products are widely available on the market. Our key advantages over these producers will be our order response time as well as lower costs, which will be attractive to many of our prospective clients.
- Existing local manufacturers of diapers and sanitary pads are few with research indicating that there are currently two in Gaborone and one in Francistown, though additional information regarding their products and operations were still being collected during compilation of this plan.
- An existing textile company is also contemplating entering the baby nappies market.
An analysis of competition is provided in the competition section of this plan.
3.3 Sales Literature
The business will begin by formulating letters of introduction establishing its position on the market, as well as the products it manufacturers. These letters will be developed as part of the start-up expenses together with the business cards and the Company Profile, mainly for the large organisations and institutions. Complementary coupons are also intended so as to raise awareness of the company and its products.
Hence literature and mailings for the initial market forums will be very important.
3.4 Technology
The machine responsible for the manufacturing process is a new and unique concept. It is capable of producing different sized nappies, that is, small, medium and large geriatric/adult and sanitary pads. It is capable of producing 350+/- diapers per hour, which converts to 2,500+/- per day, or 8,000+/- sanitary pads per day.
The one certainty in our industry is that technology will continue to evolve and develop, changing the quantity that can be produced at any one time, as well as its quality. Our aim will be to be aware of the implications of this new technology and utilize it in our existing framework where possible. However our initial aim will be to pay back the initial cost of the machine.
3.5 Future Products
In putting the company together we have attempted to offer enough products to allow us to always be in demand by our customers and clients. The most important factor in developing future products is market need. As time progresses we intend to produce towels, t-shirts and sportswear. However, we should stress that in doing so, we will strive to ensure that it is compatible with the existing products and company personnel.
