"FormPrint Ortho500" case study focuses on several serious business issues being faced by FormPrint and its business unit. In their plan of introducing the Ortho500, a new 3D printing system designed to print custom exoskeletal orthopedic splints, braces, and casts, they must come up with new ways to market the product and achieve their sales quota. They must decide on whether to market the product through sales representatives working independently or through their own sales force in the company. The success of the marketing and sales of Ortho500 is crucial to everyone as the bonus compensation of employees relies on it as well as the security of tenure of some employees.
Frank V. Cespedes; Alisa Zalosh
Harvard Business Review (915535-PDF-ENG)
September 09, 2014
Case questions answered:
- Situational analysis: A slowdown in the medical-product division due to increased competition for high-end printing systems, a saturation of auditory and dental markets, and uncertainty about the effects of universal healthcare budgets. To control costs, a hiring freeze had been instituted in 2014.
- FormPrint has to decide which distribution channel to choose for Ortho500.
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FormPrint Ortho500 Case Answers
Situational analysis of FormPrint Ortho500
FormPrint Ortho500 is a manufacturer of 3D printers, where 80% of sales went to large hospitals and 20% to smaller private hospitals and third-party prototype providers. The current products of the company cover the auditory, dental, and orthopedic markets.
The company plans to launch Ortho500, which could print an exoskeletal brace and is designed primarily for outpatient orthopedic physicians.
The machine features less complex with less functionality than FormPrint’s existing orthopedic 3D solutions. It has competitive pricing of $68,000, compared to the premium pricing of FormPrint’s other products.
Problem identification:
- A slowdown in the medical-product division due to increased competition for high-end printing systems, a saturation of auditory and dental markets, and uncertainty about the effects of universal healthcare budgets
- To control costs, a hiring freeze was instituted in 2014
- FormPrint has to decide which distribution channel to choose for Ortho500
Analysis of options:
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