1.1 Overview

The oncology healthcare market is a promising and challenging sector with a wide range of cancer treatments. It continues to expand due to increasing cancer incidence, technological advancements, and research. Personalized treatment based on gene sequencing is becoming more prevalent. However, high treatment costs remain a burden for patients and families, and efforts are being made to improve accessibility and affordability.

The pain point for products like the blue light control switch lies in their limited market exposure and high development costs. The solution involves optimizing resources during research and development and ensuring high product quality.

The strengths of our blue light switch lie in accuracy, targeted treatment, and efficiency. However, uncertainties in cost and public acceptance pose challenges.

The marketing strategy involves personal selling and sales promotion during exhibitions and forums. The financial request outlines capital costs for different stages of the project.

Overall, the oncology healthcare market offers commercial potential, but overcoming challenges and positioning the blue light control switch effectively will be crucial for success.

 

1.2 Mission & Vision

Mission:

To harness the power of technology in our relentless pursuit of curing cancer and alleviating suffering. We are dedicated to expanding treatment options for cancer patients, elevating the standards of medical diagnosis and treatment, and extending human longevity.

Vision:

We envision a world where advanced medical technology plays a pivotal role in preventing diseases, fostering the growth of civilizations, and driving economic progress.

Our Commitment:

The impact of medical advancements, coupled with our groundbreaking technologies, is vast and transformative. These innovations have profoundly enriched human health and well-being. As we stand at the forefront of scientific and technological evolution, we are optimistic about the future. We are committed to continuously pushing the boundaries of what is possible, ensuring that the future of medical technology brings even greater benefits to humanity.

 

2.1 Overview: Sector, Size, Growth

The oncology healthcare market is one of the most challenging and promising areas of the healthcare industry. According to vzkoo.com, the oncology medical services market of China in 2021 is approximately 470 billion CNY. With the increasing incidence of cancer, the demand for oncology treatments is also on the rise.

The medical oncology market is a huge market covering various types of cancer treatments such as chemotherapy, radiotherapy, immunotherapy, targeted therapy, and gene therapy. The market size continues to expand and is expected to continue to grow. In the realm of medical oncology, we are witnessing an era of relentless technological advancement and dedicated research. The introduction of novel treatments and cutting-edge technologies is propelling the industry forward, offering patients increasingly effective therapeutic alternatives. This trend has become markedly prominent in recent years, Through gene sequencing and molecular diagnostics, doctors are able to more accurately understand the characteristics of a patient's disease and develop a personalized treatment plan. However, the high cost of oncology care is a burden for many patients and families. Governments, healthcare organizations and pharmaceutical companies are seeking to reduce the cost of treatment to improve patient accessibility and sustainability. Advances in internet-based healthcare technology have provided more information and support for oncology patients. Online platforms and apps make it easier for patients to access healthcare services and exchange experiences. Of course the oncology healthcare market is influenced by government policies and regulations. Healthcare systems and policies in different countries have a significant impact on market development.

Overall, the oncology healthcare market has great commercial potential while faces many challenges. Ongoing technological advancements, tailored therapeutic approaches, efforts to contain healthcare costs, and supportive policies are all pivotal factors shaping the trajectory of the market's evolution.

2.2 PESTLE analysis

Political:

The government's decision on research funding and policy will directly affect the development of optogenetics research in China. Strong government support for the field will help push relevant scientists and institutions to carry out more research and applications. On the contrary, government support for the field may be reduced for various reasons, resulting in limited research. As things stand now, the political situation is not in very good shape. Further communication is still needed.

Scientific research often requires international cooperation and exchange. Today, the tension between major powers such as China and the United States may affect the cooperation between scientists, and the sharing of scientific and technological information may be limited, which may slow down the progress of optogenetics.

 

Economic:

Now China's economic growth has slowed, which may negatively impact capital investment and market demand of these products. If China's economic environment is favorable, state investment and support for scientific research may increase, thus boosting research and technological development in the field of optogenetics.

Market demand: China, despite its slowed economic growth, remains the world's second-largest economy. The country has been transitioning from a primarily manufacturing-based economy to one more focused on services and consumption. This shift has led to more emphasis on sectors like healthcare, technology, and innovation. Given China's vast population of over 1.4 billion people, the demand for advanced healthcare solutions, including novel techniques like optogenetics, is immense. The aging population, coupled with increasing urbanization and a growing middle class, is driving the need for better healthcare infrastructure and treatments.

Economic conditions also affect competition and cooperation between China and the international scientific community.  China's Belt and Road Initiative and its push for technological self-reliance have led to increased international collaborations, especially with countries in Asia, Africa, and Europe. While tensions with the U.S. might pose challenges, China's economic strategies have been attracting investments and partnerships from other parts of the world. To sum up, the commercialization and industrialization of optogenetic tools necessitate substantial capital and market backing. A thriving economic environment can attract both domestic and international investors, fostering the transformation and industrialization of optogenetics technology.

 

Social:

Public Awareness:

A survey conducted among 371 participants highlighted a significant knowledge gap regarding the blue light control switch. A substantial 80% of respondents admitted to having little to no understanding of this technology. This underscores the need for comprehensive public education and awareness campaigns to bridge this knowledge gap.

 

Public Perception of Development Prospects:

When queried about their views on the technology's development prospects, the majority exhibited a cautiously optimistic stance. Specifically:

51.48% of respondents indicated they "relatively recognized" its potential.

38.81% felt neutral, choosing "general."

7.55% were highly optimistic, selecting "very recognized."

On the other end of the spectrum, 1.35% opted for "relatively unrecognized," and a minimal 0.81% went with "very not recognized."

These figures suggest that while there's a general positive inclination towards the technology, there's also a degree of reservation, likely stemming from the lack of understanding mentioned earlier.

 

Public Curiosity and Expectations:

The survey also unveiled a keen interest among respondents to delve deeper into various facets of the blue light control switch. They expressed eagerness to understand its underlying principle, market trajectory, pricing, experimental procedures, future developments, efficacy, and more.

This curiosity indicates a societal appetite for more information and could be leveraged to foster greater acceptance and adoption of the technology.

 

Technology:

The blue light control switch is rooted in the advancements of molecular biology, synthetic biology, and gene editing. The accumulated knowledge in genetics, cellular biology, and molecular mechanisms provides the foundational understanding required to conceptualize blue light control switch. Meanwhile, the development of techniques to manipulate genes and proteins with high specificity has been extremely crucial for achieving precision control of our blue light control switch.The current technological landscape offers cutting-edge biological research facilities that are pivotal for the development and refinement of the blue light control switch. These biological foundations, combined with advancements in microelectronics and nanotechnology, provide a comprehensive infrastructure for research and innovation in this domain.

In addition, the technological environment encourages interdisciplinary collaborations, bridging the gap between biology, electronics, and other relevant fields. This integrated approach accelerates the R&D process for the blue light control switch, ensuring it remains at the forefront of both biological and technological advancements.

 

Legal:

In conducting biotechnology research and development activities, the Measures for the Safety Administration of Biotechnology research and Development and the Biosafety Law of the People's Republic of China shall be observed.

The two documents clearly mentioned that biological research should comply with laws and regulations, reasonably control risks, and strengthen scientific and technological ethical screening and supervision. It is not difficult to see that optogenetics will become the mainstream research direction in the future, and it is also the focus of international awards such as Nobel Prizes. These regulations are not only to strengthen the research regulations on optogenetics, but also to create an orderly market for optogenetic products.

 

Environmental:

Laboratory Safety and Contamination:

The process of editing and transforming organisms, especially using E. coli, necessitates stringent safety measures. Contamination affects the accuracy and reliability of experiments and can pose risks if harmful bacteria proliferate.

Sterilization techniques, such as using an external flame from an alcohol lamp, are essential to prevent contamination, ensuring the safety of both researchers and the environment.

Waste Management:

Laboratories involved in these processes generate biohazardous waste. Proper disposal methods are paramount to ensure that no contaminants or genetically modified organisms escape into the environment.

The utilization of disposable items like gloves, masks, and pipette tips contributes to non-biodegradable waste. Sustainable alternatives or efficient recycling methods can mitigate this environmental impact.

Resource Consumption:

The energy and resources required to maintain sterile conditions, including the operation of laminar flow hoods and autoclaves, have an environmental footprint. Optimization of energy use can reduce this impact.

Biodiversity Concerns:

The release of genetically modified organisms (GMOs) into the environment can have implications for biodiversity. Potential issues include unintended cross-breeding or competition with native species, which can disrupt ecosystems.

Ethical and Regulatory Considerations:

Beyond immediate environmental concerns are broader ethical questions about the long-term implications of gene editing on the environment. Regulatory frameworks often take these environmental ethics into account when making decisions about biotechnological practices.

 

2.3 Pain Point& Solution

Pain point:

1. Current cancer treatments may bring about a lot of side effects. Many of the current cancer medications on the market operate on a cytotoxic principle. While these drugs are designed to target and kill cancer cells, their broad mechanism of action also impacts healthy cells once administered to the human body. As a result, patients often experience a range of side effects, including nausea, vomiting, alopecia (hair loss), myelosuppression (a decrease in bone marrow activity), and liver injury, among others.

 

2. The treatment in the market cannot cure cancer cell precisely. Owing to the imprecision of some treatments, their efficacy can be compromised as cancer cells might evade the therapeutic effects of the medication. This can lead to the resurgence of cancer cells, potentially resulting in hyperplasia. In severe cases, such shortcomings can exacerbate the condition.

Solution:

1.  Reduced Side Effects:

The blue-light control switch presents a marked reduction in the adverse effects typically associated with arsenic. In contrast to traditional treatments  with pronounced side effects, the blue-light control switch offers minimized adverse reactions and boasts controllable features.

 

3. Enhanced Precision and Control:

The blue-light control switch is designed for targeted action, ensuring higher accuracy in

treatment. Its design allows for controllable activation and deactivation, facilitating precise drug

delivery at specific times and dosages. Furthermore, it can be localized to act on designated areas

within the body. This innovative tool enhances the sensitivity and safety of existing therapeutic

approaches.

 

2.4 Peer Companies

At present, there are very few similar competitors in the market. Below are similar products under development (potential competitors):

 

1.REDMAP system can be widely used in in vivo research, simplify and improve the precise regulation of gene therapy and cell therapy, and promote the application of photogenetic technology in basic scientific research and biomedical transformation research.

 

2. Photoinduced nuclear translocation and dimer (LINTAD) gene activation system, which combines blue-light based CRY2-CIB1 with LOV2(photooxygen voltage sensing domain 2) based photoinduced nuclear localization signal (NLS)biLINuS.

	REDMAP system	LINTAD system
Advantages and characteristics	The module is small, sensitive, reversible, and has strong tissue penetration in red/far red light	Precise control of CAR-T cells to regulate the expression of various target functional genes in a variety of mammalian cell lines. Achieving non-invasive control of tumor cell killing.
Application scenarios	After the researchers transplanted the engineered cells loaded with the REDMAP system into the subcutaneous skin of mice, rats and rabbits, they could accurately control the expression of insulin in mice and rats through light, successfully controlling blood glucose homeostasis in diabetic mice and rats. No need to take regular daily medication or insulin injections, just a few minutes of light every day can achieve significant blood sugar lowering effect.	It can be used as a general tool of gene regulation and applied to controlled cell tumor immunotherapy.

 

2.5 SWOT analysis

1. Strengths: It has high accuracy and efficiency, which ensures safety.

Compared to traditional therapies, the new blue light control switch has higher accuracy. It is targeted for cancer cells and is less harmful to surrounding cells and tissues. In addition, it brings relatively less side-effects to human body. Its safety is guaranteed. Furthermore, it is more convenient when turning the switch on/off, which is more efficient than its competitors.

 

2. Weaknesses: Its cost and profit remain uncertain, might lead to side-effects.

Our product is still under research and development stage, so the specific cost and profit is still uncertain. In addition, considering that this is a new technology, the public might still need time to accept and embrace this product.  

Although its side-effective is miniscule, there might still be some negative impacts to users. For example, since it makes alternations to genes, some rejection reactions might occur in the immune system. The main side effect appears to be skin diseases. The extent of side-effect varies depend on personal physical difference.

 

3. Opportunities: There are few competitors in the market, while there’s an amount of unfulfilled demands.

Without doubt, there’s very few competitors in the market because this technology is not mature enough. So we have the opportunity to access the market quickly. Furthermore, many traditional cancer therapies lack targeting ability. They indeed kill the cancer cells, but at the same time, brings harm to surrounding issues.  There’s a high potential of demand in the market for product that can bring accuracies to existing therapeutic methods. Which means there will be hidden opportunities in the market for us to develop.

 

4. Threats:  There are competitors with similar functions in the market.

Although there are very few competitors in the market, there’re some existing product that has similar functions with the new blue light control switch. For example, according to NATURE[1], a product names REDMAP is also related in optogenetic field and can increase efficiency of gene therapy. However, its main function is decreasing blood levels using red light, not cancer treatment.

Another threat in the market is the LINTAD system developed by a team from UCSD. According to Science Advances[2], their system also focuses on genetic expression. Its main function is CAR-T cell activation, which is a new cancer treatment. Assisting Car-T is also one of our product’s functions, but our switch can also be applied on other fields such as neuropathic disease and stem cell modification.

 

3.1 Product

Product classification:

The product is classified as a physical specialty item, distinguished by its unique features and competitive edge. The initial launch will introduce the product's first version, with subsequent releases contingent upon market response to this debut edition.

Product Definition:

The Blue Light Control Switch is not a standalone cancer therapy solution. Instead, it functions as an advanced technological tool designed to enhance the efficacy of existing therapeutic products.

Its primary role is to control the release and delivery of therapeutic agents, ensuring that drugs are administered with precision. By harnessing the power of blue light, the switch can activate or deactivate the release mechanism, allowing for targeted drug delivery.

This ensures that therapeutic agents are delivered directly to the cancerous cells, minimizing damage to surrounding healthy tissues. The result is a more focused treatment with potentially fewer side effects.

When integrated with other medical products, the Blue Light Control Switch can significantly improve the accuracy and safety of cancer treatments, offering a promising avenue for advancements in oncology care.

Branding:

Our idea is to cooperate with credible and reputable medical institutions and popularize our brand and promote our product. Our value preposition is to provide our users with safe and effective therapy. The new blue light control switch can increase the accuracy of medical treatment. It avoids the damage to surrounding tissues and cells and therefore minimize the harm to human body.

Packaging：

For product packaging, our switch is a type of medical product. Our packaging needs to meet all the requirement from the local Pharmaceutical Administration, which means we need to print all the necessary information on our packaging. For example, the production license, production batch, ingredient list, production date, shelf life, use method, possible side effects, etc.

 

3.2 Price

Pricing method-Demand oriented

Considering the influence factors of price setting, we choose the demand-oriented method. There’s a large amount of demand for products that can increase the accuracy of cancer treatments. At the same time, the competition in the market is not intense, it is relatively vague.        We choose to set the price based on the demand in the market. This is a flexible method since the price can be adjusted at any time due to the fluctuation of demand.                                                        

 

3.3 Place

Distribution- Cooperation with reputable hospitals and professional organizations

Our product is related to the biomedical field and require some expertise. Considering some safety risks, our consumers need to use the product under the instructions of professionals. Our business model is B2B since our target customers are mainly organizations, hospitals, and institutions. So we adopt the conventional marketing channels and have several kinds of distributors to help sell our products. We choose to cooperate with reputable hospitals such as Peking Union Medical College Hospitals because it will be more compelling if our partner has high credibility. In addition, we‘d like to form cooperation with a wide variety of professional organizations because we can quickly expand our market share and popularity . We will be responsible for manufacturing and promoting the switches to organizations. And our users will be able to access our product through the third parties.

 

3.4 Promotion

Promotional budget:

We embrace the affordable method to set our promotional budget. Currently we only have an approximation of the profit, it’s inaccurate to set the promotional budget based on our projected sales. In comparison, the affordable method is much more practical. We will set the budget within an acceptable range based on our current capital.

Promotional tools: Personal selling + sales promotion

Considering that we have a relatively small customer group, it’s more effective to promote our product using personal selling. We could join in large campaigns such as scientific exhibition and medical forum. To capture the attention and interest of our target customers, we will present a concise and compelling pitch about our project during relevant activities and events. This pitch will highlight the unique benefits and potential of the Blue Light Control Switch, emphasizing its role in enhancing the precision and safety of cancer treatments.

 

4.1.Funding request

In the third quarter of 2023, this is the emerging stage of our business. We focus on production and aim to search for groups and brand investors who are willing to buy our products. We have no cash flow, our initial investment funds come from our own or bank loans.

  From the fourth quarter of 2023 to the fourth quarter of 2028, our income begins to increase and our capital investment also increases.

In summary, we need a total of 1,034,000 RMB.

The purpose of funds is divided into eight categories, namely rent (14.5%), packaging (5.3%), research equipment (17.4%), raw materials (34.4%), sales management (4.8%), marketing (7.3%), production equipment (8.2%) and others(taxes, interest, electricity bills, consumables) (8.0%)

The figure below represents the capital costs

`

Figure 1

Item	Amount(RMB)
Rent	¥  150,000.00
Packaging	¥    55,000.00
Research equipment	¥  180,000.00
Raw materials	¥  356,000.00
Sales Management	¥    50,000.00
Marketing	¥    75,000.00
Production equipment	¥    85,000.00
Other(Taxes, interest, electricity bills, consumables)	¥    83,000.00

*All currency units are in RMB

 

4.2 .Financial Forecast

3-5 Year Financial Forecast for Blue Cancer:
Metric	Year1	Year 2	Year 3	Year 4	Year 5
Revenue (RMB )	1,000,000	1,100,000	1,210,000	1,331,000	1,464,100
Cost (RMB )	1,034,000	1,087,200	1,141,760	1,198,848	1,258,689.6
Gross Profit (RMB )	-34,000	12,800	68,240	132,152	205,410.4
Expenses(RMB )	130,000	136,500	143,325	150,491.25	158,015.81
Operating Profit/Loss (RMB )	-164,000	-123,700	-75,085	-18,339.25	47,394.59
Tax (RMB )	0	0	0	0	4,739.46
Net Profit/Loss (RMB )	-164,000	-123,700	-75,085	-18,339.25	42,655.13

 

Assumptions:

Revenue: A 10% growth rate is assumed for revenue each year after the first year, considering the startup nature of the business and the time it might take to establish a market presence.

Cost: A 5% increase in costs each year to account for inflation and potential expansion needs.

Expenses: A 5% increase in expenses each year due to potential expansion and inflation.

Tax: A consistent VAT of 10% is applied to the operating profit.

Before we reach the break-even point, Team Blue Cancer would only focus on the development stages of the product and refining it through different prototypes.

 

 

 

 

 

 

 

 

 

5.1 ESG Compliance

Environmental (E):

Traditional Radiation Concerns: Traditional radiation therapies pose significant environmental risks due to the inherent challenges of ensuring radiation safety. The environmental footprint of these treatments is a growing concern.

Blue Light Control Switch Advantage: Our Blue Light Control Switch, rooted in cellular mechanisms, offers a more environmentally conscious alternative. By focusing on the fundamental units of life, cells, and recognizing the interconnectedness of life within ecosystems, our technology contributes positively to the environment.

 

Social (S):

Addressing the Rising Demand: The increasing prevalence of cancer globally necessitates innovative and effective treatments. Our Blue Light Control Switch provides a solution that can aid drug manufacturers in achieving targeted drug delivery, potentially reducing production costs.

Broadening Access to Treatment: From a societal perspective, this technology has the potential to make high-cost cancer drugs both more affordable and more effective. This democratization of access ensures that a larger segment of patients can benefit from advanced treatments, enhancing the overall quality of care and potentially increasing cure rates.

 

Governance (G):

Medical and Commercial Value: The intrinsic medical and commercial value of the Blue Light Control Switch is substantial. Its potential to revolutionize cancer treatment makes it an attractive proposition for global medical companies specializing in oncology. By drawing interest from these entities, the technology can stimulate economic growth, elevate living standards, and underscore its significance in the global medical governance landscape.

 

5.2 Team member

Yushan Cao, Yinuo Cheng, Yingrui Fan, Zihui Fan, Minrui Han, Yike Hu, Ailin Ji, Ziyang Li, Wenqing Li, Yuze Li, Jialin Li, Xiaoran Lin, XinyiZheng, Sichen Liu, Lige Ma, Siming Liu, Wanyi Wu, Nuoyu Wu, Heng Yan, Yunpeng Yang, Tianxinyue Zhao, Boqian Zhao, Xiaohan Zhu, Tianyu Zhu   

 

5.3 Reference

[1] Zhou, Y., Kong, D., Wang, X. et al. A small and highly sensitive red/far-red optogenetic switch for applications in mammals. Nat Biotechnol 40, 262–272 (2022). https://doi.org/10.1038/s41587-021-01036-w

[2] Ziliang Huang et al Engineering light-controllable CAR T cells for cancer immunotherapy.Sci. Adv.6,eaay9209(2020).DOI:10.1126/sciadv.aay9209