Question

7. Can the company make any changes in the way it segments the market?

. Examples of finfish would be cod, pollock, salmon, 2. Examples of shellfish would be shrimp, lobster 3. Mike Adams, "FDA Stuns Scientists, Declares and halibut. COMPANY HISTORY AND FOUNDERS scallops, oysters, clams, and crab. s of NeoMed Technologies, developed the initial concept for NeoMed Mercury in Fish to be Safe for Infants,Children i graduate work in the Physics Entreprencurship Program, a partnership between the Physics Department and the Weatherhead School of Management at Case FDA_fish.html; and Sharon Begley, "Smackdown! Western Reserve University (CWRU) in Cleveland, Ohio. EPA. FDA and Mercury in Fish." April 24, 2009. Befor starting the program, Marc. in collaboration with a http:/blog.newsweek.com/blogs/labnotes/archive radiologist from West Virginia University, created patents 2009/04/24/smackdown-epa-fda-and-mercury-in- for a technology that had been introduced to him earlier that year by a scientist looking to commercialize his ideas. Mare conducted preliminary research and evaluated the market opportunities for the technology while participat ing in the program at CWRU. As a result, in the spring of 2001, NeoMed was officially formed with the purposc of commercializing a novel radionuclide imaging technol- ogy for cardiac testing, developed based on research con- ducted over the past three decades in experimental particle physics detector technology at the Department of Energy National Laboratories and in nuclear cardiology imaging company in Cleveland, Ohio, a region that supported world-class research in the area of medical imaging. This allowed NeoMed to have access to top-notch engineering services software partners, and industry suppliers. Major players in the diagnostic imaging market, such as GE Medical and Philips, have also been historically located in this region. From the very beginning, NeoMed was thought to have a ommercial poten- tial of the market for cardiac testing. This was based on the fact that in the United States, as well as other industri- alized nations, CAD is a leading cause of fatalities, with the first symptom of this disease often being death. Given this sobering reality, it is not surprising that NeoMed's Marc Umeno, one of the founder Expectant Mothers." December 17, 2008, www.naturalnews.com/news 000622 mercury fish.aspx. CASE 11 NEOMED TECHNOLOGIES Marc Umeno, president and founder of NeoMed Technologies, and George Coleman, chief operating officer and vice president of business development andN marketing, arrived back at NeoMed headquarters after a frustrating and disheartening meeting with venture cap- tal investors. Now late into August 2002, after months of revising the company strategy, continuously improv- ing the technology and product design, and meeting with investors still not willing to commit their capital, the company had finally run out of cash. Such brutal reality made Marc and George wonder what they could possibly be doing wrong. There was no doubt in their mind(s) that NeoMed had the right people and an out standing technology. They were convinced that NeoMed's device had the potential for helping people in a way that other alternatives could not. This dedication has sustained the company to this point. However despite the great commercial opportunity of its innova- tion, the company technical development and business and financing NeoMed Technologies is committed to establishing its issues. Though each team member is convinced that the technology as the standard of care for initial diagnosis capital that the company needs to prove the technology of coronary artery disease and will be instrumental in is available, the existing financing environment had investors becoming cautious and risk averse. In light of Marc U the present situation, NeoMed was at a decision point as were the three original founders of NeoMed. After at UCLA. It was decided to locate the new bright future due to the very promising c vision is as follows: wa saving millions of lives. meno, Stan Majewski, and Harry Bishop searching for recommendations for someone with industry experience who would work well in the start-up environment, Mare was introduced to George Coleman. Source: This case study was prepared by Amanda Holland. Nadya Tolshchikova, Jeff Glass, and Robert Hisrich, with the intention of providing a basis for class discussion George joined the company as COO shortly thereafter

Answer 1

Segmentation should be done on the following basis :

1) Each segment has its unique product demand .

2) In case of similar products there should be differences in product's size, shape , performances etc.

3) For unique segment a market might be existing.

4) A large number of customers should have demand to a variant for an existing product or services .

5) The values , attitude and life styles of a particular segment vary as compared to other one.

NEOMAD can change segmentation with clear focus on its pricing strategy. It should cater each customers or patients by offerings segments as :

1) Hospital as a client

2) Clinic

3) Channel partners

4) Homebased diagnosis by Neomed facility

5) Pathology and test labs

All these groups should be treated with differential profit margin but efforts should be to reduce huge prices of diagnosis. A stable price will boost huge demand as compared to the competition in the same industry .