SupplyPro, Inc. is a new venture that proposes to introduce a proven product to new markets. The product is the automated, point-of-use dispensing cabinet that has become ubiquitous in the healthcare industry and is used to manage pharmaceutical and medical supplies. SupplyPro intends to roll out these computerized cabinets to the office product industry where they can be used to reduce consumption, manage inventory, and automate the reordering of office supplies. SupplyPro has conducted focus groups, beta tests, and market surveys supporting the introduction of this product to the office supply industry. The company has also assembled an experienced management team with expertise in product design and development, sales and marketing, finance, and technology. This team will focus on securing funding to launch the new venture, as well as developing strategies to overcome such critical risks as competition, patents, and adoption of the product by the market. Recommendations to the management team include fully pursuing this business opportunity, submitting a comprehensive business plan to the law firm of Brobeck Phleger & Harrison, and distributing the plan to a group of venture capital firms. Upon securing start-up funding, SupplyPro should begin differentiating its product with unique and technologically advanced features such as Internet-based reporting and ordering. The company should then focus on obtaining first-mover advantage by rapidly introducing the product to the office supply industry.
