Question

I need an example of a product that I can launch outside the united states that is not already sold in the united states but can be produced in the united states or elsewhere? submit a brief discussion on this product.

Answer 1

The product that can be manufactured in the United States but not sold in USA is a three-wheeler vehicle called autorickshaw used for transporting passengers in the developing countries - Thailand, India, Pakistan over short distances. These are made of low grade steel and are generally covered for protection of the driver and the passengers from sun and rain.

The cost of manufacturing the vehicle is estimated to be around $8,000 per unit and the selling price would be ~ $8500 per unit in the Indian subcontinent. The raw materials for the product would be steel, gearboxes, basic electrical fittings and the engine.

The production can happen at a relatively smaller place with an area of about 2-5 acre of land and having machines such as forming and stamping and assembly shop for assembling the parts.

It would be important to be efficient to keep the cost low in order to be competitive in a market which is very price sensitive and consumers propensity to switch based on price is high.