Reference no: EM133086306
Uzu Kyu Mei Gan
"Uzu Kyu Mei Gan" is an herbal medicine for babies and children. It may remind middle-aged people of their good old days. This used be very famous for high sedative effect with no side effect.
The company which produces the medicine is also called "Uzu Kyu Mei Gan". The company "Uzu Kyu Mei Gan" was founded in 1597 and older than 300 years. The founding family is the Uzus. The Uzus was the doctor for the feudal load of the present Tochigi Prefecture. The Uzus changed their doctor job into a village headman and started producing the medicine after the load was confiscated of his territory. Those days, the medicine was regarded as a cure-all one for adults. Gonemon, the founder, was said to give this medicine to village people when they were sick, though it used to be extremely expensive.
Their marketing system was unique. They marketed the medicine to inns and retailers and charged by what was consumed later. This is the origin of Okigusuri, or consumption-based payment. The medicine was offered to the Hitotsubashis, the feudal load of the district, and its reputation became unshakable. Ienari Tokugawa, the 11th shogun, was from the Hitotsubashi. He was always taking the medicine. The Hitotsubashis relied upon the medicin very much and exceptionally allowed the Uzus to use a lantern with the family emblem of the Hitotsubashis for delivering the medicine anytime.
The formula of the medicine was a family secret. It has been handed down from first son to first son. He used to make it after purifying him, not drinking and eating for some time. He produced it in an isolated room, called "Seii Ken" meaning "Room of Sincerity". Uzu Kyu Mei Gan is made from eight different herbs. The main functions are calming nerves and activating digestion.
The company facing this unexamined crisis is trying to return to the management philosophy of the founder.
"Uzu Kyu Mei Gan" containing 8 different natural herbs aimed at making you healthy. One of the philosophies is to keep people fit physically and mentally by using natural ingredients.
Keeping this philosophy in mind, they are planning to move into the field of moisturizing and deodorant by a brand "Momonoha" meaning "peach leaves".
They are also promoting "Uzu Kyu Mei Gan" as an herbal medicine which can release or lessen the stress of mothers by making their babies calm.
The other philosophy was business rooted in the community. They have resumed "Million Lanterns Festival" at their Takanezawa factory. This festival is a local festival which used be held every year till 300 years ago. All the employees are involved in operating it, which is open to the community. More than 50 thousand local people enjoy it every year.
Question 1: Explain the relationships of family business with the community.
Question 2: What kind of marketing strategy do you think a pediatric pharmacy company like Uzu Kyu Mei Gan should implement in the days of low birth rates?