The Dental Clinic Case Clinic Memorial Hospital

Question 2: Pages 6-7 (show 3 paragraphs per page)
Now consider the clinic's situation without the new marketing program. How many additional daily visits must be generated to break even? Construct a break-even graph that can be included in your report

The preceding question is if the clinic continues operating the hospital without expanding its marketing program, what would be outcome? In essence, continuing to operate the clinic with no new marketing plan have two outcomes: make or break the clinic. The main benefit of this decision is that there will be no adjustments or changes required, and, therefore, no extra costs will be incurred. Word Count: 64

The setback with this decision is that the clinic will continue to incur losses for an
The net revenue per visit needs to be $40.66. If the clinic managed this, then the clinic will make a profit at the end of every month. There will be 1,860 clients every month and a net revenue of $75,623. The challenge of achieving this goal lies in increasing the number of clients without any marketing plan. Word Count: 74

If the clinic intends to operate at a profit, it needs to serve 75 clients every day or serve 2,250 clients every month. Serving this number of clients can increase the profit margin by 15.6%. Some strategies such as reducing the number of employees and cost of supplies are not applicable in this case because the facility is operating at a bare minimum of supplies and the least number of employees. Word Count: 73

If the clinic reaches the break-even point, it will be able to sustain its operations. However, operating at a break-even point means that the clinic will not be making any profit. Therefore, in order to sustain its profitability, the clinic needs to attract more clients even without any new marketing plants. As indicated in the Exhibit 1, obtaining new clients is crucial for the clinics survival.Table 1 shows profits or losses and daily visits. Word Count:
A new strategy would require a specialized bookkeeping to target the additional clients and a full-time marketing assistant. The additional costs will would include running advertisements on the local media and handout. Implementation of a new strategy will be costly as well as take time. Word Count: 69

In order to cater for the additional implementation costs, the clinic needs to serve 24 additional clients per day. Therefore, the clinic needs to serve 69 clients in a day. As previously stated, the decision to continue running the clinic without a marketing plan requires the clinic to serve 62 clients but in this case, the additional costs requires the clinic to serve seven additional patients. Word Count: 66

If the clinic could operate without a new marketing plan and still serve 24 additional clients, the monthly revenue would be $7,581. However, implementation plan has additional costs because more staff needs to be hired, for instance the marketing assistance. Therefore, the additional revenue obtained from the seven clients is spent on the staff. However, the clinic can obtain optimal revenue is it can serve 75 patents in a day. Word Count: