Herbal Company’s Business Plan

Herbal Company’s Business Plan

Executive Summary

Herbal is a small business that has recently had a major breakthrough in the form of using a plant-derived painkiller to treat cancer. Currently, the company’s CEO is looking for investors to fund further research on human subjects and to start the process of production. The uniqueness of the opportunity to invest in Herbal is associated with the fact that the company is small and does not rely on umbrella corporations. Also, the modern pharmaceuticals industry is on the lookout for new and innovative medications to address the needs of patients, governments, and health-care professionals when it comes to successful cancer treatment.

Introduction

This business plan will focus on developing a list of the activities that a young pharmaceutical company based in Abu Dhabi will take to capture a position in the market and generate revenue. Opportunities are currently vast due to the company’s recent research breakthrough, which has significant potential to attract new partners and investors to support future R&D efforts.

Business Description

General Description

Herbal is a unique company; it started out as a family-owned business that was passed down from father to son. In a recent breakthrough in research, the new painkiller “Herbal” managed to shrink one type of cancer in a lab rat by 75%, presenting a massive opportunity for the company to extend the capacity and the coverage of clinical studies and try “Herbal” on human subjects. Possibilities for “Herbal” are vast, particularly given the demand for medications that have a potential to cure cancer.

Industry Background

The modern pharmaceuticals industry currently consists of biotech companies, medicine manufacturers, and wholesale companies that manage and handle the products circulating the market. The industry is now focused on the manufacturing of medicine-related products (e.g., vitamins; diagnostic substances; health supplements; prescription, generic, and over-the-counter drugs; etc.). Compared to other industries that produce items for consumption, the pharmaceuticals industry has an unusually high percentage of financial support that goes toward research and development (R&D) efforts as well as the training of skilled personnel (scientists and employers). It is noteworthy that the leading companies operating within the industry generate over 50% of the sales, suggesting that barriers to entry are high. Industry leaders include such companies as Pfizer, Abbott Laboratories, Johnson & Johnson, Bayer, GlaxoSmithKline, Novartis, and Sanofi (“Pharmaceuticals: Background”).

A promising future is expected for the pharmaceuticals industry despite the challenges it faces. With a growing aging population and an increase in the consumption of both prescription and over-the-counter drugs, demand will rise worldwide. The key industry objective is to create sustainable supply chains and establish trusting relationships with patients. Also, new technologies should be developed to address the pressure from governments and health-care providers to develop preventative medicines for managing such challenges as cancer, tuberculosis, and AIDS.

Goals and Potential of the Plan

Key goals of Herbal’s business plan include communicating the opportunities for the product, explaining the need for the product on the market, estimating the subsequent processes to develop and market the product, and finding a target audience of investors who will provide financial support. In short, Herbal is a product that has an extensive potential if introduced to the market: It offers the possibility to address the health-care challenges of cancer research and management. Because the medication has been shown to be effective in shrinking one type of cancer in lab rats by 75%, the company has a massive potential to extend its clinical trials and start conducting tests with human subjects, which is expected to bring the company not only profit but also popularity in the industry.

Uniqueness of Opportunity

These outstanding properties of Herbal were an unexpected discovery since the initial purpose of the medication was to reduce pain. Overall, herbal substances are hard to control because their properties can influence organisms differently. The opportunity to extend the research regarding Herbal’s effect on humans is unique because the company is small and independent and thus does not require the same amount of financial incentive as large corporations. In addition, the fact that the drug is herbal-based and will need fewer chemicals for production offers a breakthrough in research