Académique Documents
Professionnel Documents
Culture Documents
Ecton a is trying to develop a substitute for high end MRI & Ultrasound imaging system. The
existing market structure is oligopolistic in nature and there are high barriers of entry made
in the form of complexity of process. The present technologies namely Cardiac
Catheterization (expensive), Magnetic Resonance Imaging (expensive) and X-ray (expensive
and harmful) are provided by big firms like HP.
The existing Critical Performance feature is reducing cost and improving Diagnostic Precision.
With the presence of contrasting agents,(there regulatory approval and insurance issues),
there is a strong complimentary based formed for the existing market.
Although Echo is price almost half of the traditional big machines, it brings several new
features(some are new critical performance features) and also performs relatively poor on
existing critical performance feature of precision imaging. Some features it brings-
1. Mobility
2. Antecedents (low for Ecton, Inc) & Inertial nature of the Industry
3. Price
Let us assume that every feature out of below critical features have equal importance.
Instrument Capabilities:
Good
Poor
Poor
Value System
As per the group’s viewpoint Ecton is making a mistake in getting itself acquired. It is operating in a grey
zone where there is more scope for being disruptive. The group believes that it can possibly go to the newer
markets where it can access newer markets. The product if proves to be productive would attract the eyes
of the bigger players would get acquired and the company should possibly look out for the same. As far as
the marketing and other functions are concerned they can be outsourced.