Our clients are companies that are developing aggressively, executing strategic
and operational plans. They benefit from management and strategic augmentation,
and require capital formation or guidance as well as market development and increased
CapGenic Associates focuses its activity in a number of key market segments:
- Biotech & Life Sciences
- Supply Chain and Logistics
- Communications & Media
- Software and Information Technology
- Environmental & Physical Sciences
Our expertise includes:
- Corporate finance and capital formation
- Mergers and acquisitions
- Alliances, spin-offs, channel development
- Business model development
- Business model execution
- Growth strategies and operational development
- Market segmentation, positioning, and deployment
- Sales development: approach, support, and management
Mergers & Acquisitions
CapGenic professionals have led significant strategic transactions. Our experience
with strategic analysis, structure, and negotiation coupled with persistence and
patience has resulted in billions in transaction value.
Transactions include the acquisitions of Beatrice and Stauffer; merger of Postgraduate
Institute for Medicine into Jobson Publishing; acquisition of Progressive Development
Systems into Advanced Logic Systems and its subsequent sale to Performance Food
Group; and the plan and facilitation of funding for HealthStar Communications; among
others. Our work has resulted in healthy sustainable businesses, many of which are
market leaders in their respective fields.
Alliance and Channel Development
We have created partnerships that enhance stability, growth, and value. Alliance
building includes facilitation of distribution channels, sales, manufacturing capabilities,
and promotional activity. We assist our clients in reducing infrastructure spending
and in accelerating growth through leveraging partnership resources. These relationships
have catalyzed mergers and acquisitions as well as other forms of strategic investment
while building shareholder value.
We have found that the same skill sets we use in our traditional M & A practice
can work effectively to create partnerships and joint ventures that benefit all
Business Plan Development
CapGenic business models convert innovation to economic value for a business. Business
models illustrate the manner in which a company makes money through the identification
of its position in the value chain. Models draw on a multitude of business subjects
including entrepreneurship, strategy, economics, finance, operations, and marketing.
Simply put, CapGenic develops business models that describe how a business positions
itself within the value chain of its industry and how it intends to sustain itself
and generate revenue.
Six Components of a Business Model
- Value Proposition - a description of the customer
problem, the solution that addresses the problem, and the value of this solution
from the customer's perspective.
- Market Segment - the audience to target, recognizing
that different market segments have different needs. Sometimes the potential of
an innovation is unlocked only when a different market segment is targeted.
- Value Chain Structure - the firm's position and activities
in the value chain and how the firm will capture part of the value that it creates
in the chain.
- Revenue Generation and Margins - how revenue is generated
(sales, leasing, subscription, support, etc.), the cost structure, and target profit
- Position in the Value Network - identification of
competitors, complementors, and any network effects that can be leveraged to deliver
more value to the customer.
- Competitive Strategy - how the company will attempt
to develop a sustainable competitive advantage and use it to improve the enterprise's
competitive position in the market.
Business Plan Execution
CapGenic business models excel when one considers what constitutes successful execution.
These are Moving Target Management, Triage Management, and Performance Measurement.
- Moving Target Management - is the ability to operate
steadily in a rapidly changing environment. In this environment, CapGenic balances
structure with the need for speed and change.
- Triage Management - is the ability to undertake a
portfolio review of all the projects, then identify poorly performing projects and
prune them. Every corporation has many projects. Often, many of them could be under-performing.
CapGenic assesses which ones are poor performers and develops processes for eliminating
- Performance Measurement - is the ability to measure
the right indicators and take corrective action. Most companies measure a broad
range of things and gather an abundance of data. But they often tend to measure
the wrong indicators.
CapGenic creates methodologies to measure customer satisfaction based on the right
indicators to give feedback to the sales reps, customer service reps, and all of
the front line people so that the information is truly useful. Performance measurement
encompasses the entire feedback loop.
Growth strategies and operational development
In this new era of unrelenting change and competition, companies face a daunting
challenge: how to sustain the business model. The fact is, no matter how bulletproof
your firm's current business model, it will be challenged by innovative approaches.
The new reality is that business models have shorter shelf life. If you want to
survive and grow, you must constantly attempt to reinvent your business.
Sustainable business growth strategies are a practical approach to achieving top-line
growth and bottom-line results. CapGenic emphasizes four qualities of sustainable
growth and development:
- Believe in and act on the idea that there is no such thing as a mature business;
- Create a corporate mindset of growth, starting from the top and reaching to the
bottom. Growth is an attitude created by a company's leadership. It starts with
the spark of a new point of view, and it catches fire when everyone buys into what
the leaders are envisioning and driving toward;
- Focus on balanced growth, the key to prosperity. Sustainable growth requires meticulous
attention to the basics: quality, cost structure, new product development, asset
utilization, investment of capital, value chain and service-profit chain innovation,
customer service satisfaction and other components of operational excellence;
- Pay attention to both top-line growth and bottom-line results. Growth at all costs
or growth for its own sake, can be a recipe for disaster; good growth is profitable,
sustainable, and capital efficient.
Marketing and Sales Development
CapGenic works with clients to define their business, understand the reasons why
customers should want to buy the company's product(s) or use the services, and articulate
how the company positions their products and services.
CapGenic communicates an understanding of key marketing terms—the building blocks
of marketing strategy—and the critical role of consumer relationships.
CapGenic builds “means-end’ chains for targeted consumer segments, identifying the
attributes, consequences, and values that reflect the way consumers think about
the product and service experience.
CapGenic enables a company to effectively provide consumers with compelling answers
to positioning questions. We develop perceptual maps, attribute ratings, segmentation
data, and positioning statements to establish the distinct values of a firm's offerings
in the minds of customers.
CapGenic Product Strategies reinforce the importance of branding and its influence
on a product. We identify the formal and augmented core characteristics of a product
that targets varying consumer segments and we emphasize the importance of effective
product management by defining products and communicating their benefits to consumers.
The CapGenic Marketing Mix is the key to product, price, place, and promotion, as
well as how they are used to conceive, organize, and execute a marketing strategy.