ASSIGNMENT 3: Mayaderm Case Study

Mayaderm Case Study

BASIC PROBLEMS

1. According to Dr. Shah, his product Mayaderm cream has not been commercially successful, its sales are not picking up.

2. He also states that a third-party marketing agency that was appointed to sell the product through its newly-established dermatology department decided to close it.

3. He also admits that his understanding of how business works is not appropriate.

4. Over the years, expenditure on Mayaderm, especially the costs of promotion, distribution, and production, had increased and the net margin had declined. 

5. I think the product needs proper advertisement and promotion.

PARTIES INVOLVED

1. Two resident doctors, Dr. Atul Bhatt and Dr. Khamar of V. S. Hospital encouraged Dr. Shah to opt for large-scale production of the product and be made available to needy patients. 

2. A chance meeting between Dr. Shah’s younger son Rajen and his friend Jaimish’s father, Rasikbhai, in 1997 opened a window for entrepreneurship. Rasikbhai was a partner in Tuton Pharmaceuticals, a third-party manufacturing company in the pharmaceutical industry associated with Dr. Shah.

3. Atra pharmaceuticals. 2012

DISRUPTION IN COMMUNICATION 

1. Dr. Shah admits that he did not have much knowledge regarding entrepreneurship and this caused him to seek advice from others and follow them without pursuing his intentions toward his own product. 

2. I think Dr. Shah had incredible visions for his product but he failed to explain them to the pharmaceutical and advertising companies. I think his naivete and inexperience could have been the reason for inadequate marketing/communication. 

3. Dr. Shah didn’t have an ultimate goal for his product which might have been the reason the third-party companies couldn’t advertise the product efficiently.

WHY IS THE PRODUCT FAILING?

1. Neither the pharmaceutical companies nor the advertising companies did justice to the product by proper promotion. 

2. Since Mayaderm is a herbal cream many pharmaceuticals denied selling this product in their companies. 

3. In 2012, Mayaderm’s cost was raised from INR 70 to INR 120. 

4. The product lacks effective marketing support.

5. Initially, the product didn’t have a name and even though the product was running well, it was called the herbal cream. Mayaderm would have run successfully if there wasn’t a gap at the start.

EFFECTIVE MEASURES 

1. Dr. Shah’s intentions and motives for inventing this product were not promulgated to the public in any way. It would have added a personal touch to the product instilling reliability and hope in people with Dr. Shah’s views. 

2. Decreasing the product’s cost until it starts selling in large quantities would be suitable. 

3. The doctors’ feedback on the product would attract people’s attention as it is the remedy for so many diseases and health altercations, and using their points while advertising the product would go a long way. 

4. I would urge Dr. Shah to personally go and give lectures to medical students, speeches, seminars, and press conferences and engage with people about his journey and invention of his wonderful product.