Wilson Business Proposal
Business Proposal
Business Proposal
Randy Sickmier
ECO/561
September 28, 2011
Dave Sella-Villa
Business Proposal
This business proposal targets a new market for personal computers; senior citizens. No computer company offers a product designed exclusively for the baby boomer (“Boomer”) generation. There are “senior friendly” computers available from most of the major manufacturers, but none make a full commitment to “senior only” features. The market for computers designed to meet the unique needs of senior citizens, the oldest boomers, is a wide open field with little competition. There are 75 million Boomers in the U.S, about 29% of the population, with the first of this generation turning 64 this year (Baby Boomer Headquarters, 2011). This proposal outlines the way ahead for profiting from this market.
Personal computers (“PC”) are an elastic product and the market structure is free competition. Though PC’s are elastic they display inelastic properties because of the large numbers in use, and the important roles PCs have in the lives of many Americans. In 2010, there were 950 PCs in use for every 1,000 people in the U.S. (Computer Industry Almanac). This does not account for business use or those that have multiple PCs, but these numbers indicate that most Americans own a PC. Four million Boomers turn 64 every year for the next 18 years (Baby Boomer Headquarters, 2011). The potential sales and profit in this market is significant.
Product Differentiation
The key to success in this new segment is total design commitment to the target consumer. Product differentiation will be straightforward for this product and development will consist of applying and marketing existing technology in new ways. Seniors demand products that are easy to operate and support their lifestyles. These computers are differentiated by the following features:
* 25-inch high definition touch screen. A single, self-contained unit with handles.
* Complete voice interaction.
Business Proposal
Randy Sickmier
ECO/561
September 28, 2011
Dave Sella-Villa
Business Proposal
This business proposal targets a new market for personal computers; senior citizens. No computer company offers a product designed exclusively for the baby boomer (“Boomer”) generation. There are “senior friendly” computers available from most of the major manufacturers, but none make a full commitment to “senior only” features. The market for computers designed to meet the unique needs of senior citizens, the oldest boomers, is a wide open field with little competition. There are 75 million Boomers in the U.S, about 29% of the population, with the first of this generation turning 64 this year (Baby Boomer Headquarters, 2011). This proposal outlines the way ahead for profiting from this market.
Personal computers (“PC”) are an elastic product and the market structure is free competition. Though PC’s are elastic they display inelastic properties because of the large numbers in use, and the important roles PCs have in the lives of many Americans. In 2010, there were 950 PCs in use for every 1,000 people in the U.S. (Computer Industry Almanac). This does not account for business use or those that have multiple PCs, but these numbers indicate that most Americans own a PC. Four million Boomers turn 64 every year for the next 18 years (Baby Boomer Headquarters, 2011). The potential sales and profit in this market is significant.
Product Differentiation
The key to success in this new segment is total design commitment to the target consumer. Product differentiation will be straightforward for this product and development will consist of applying and marketing existing technology in new ways. Seniors demand products that are easy to operate and support their lifestyles. These computers are differentiated by the following features:
* 25-inch high definition touch screen. A single, self-contained unit with handles.
* Complete voice interaction.