Flexitech Rubber Solutions

Getting into the additive rubber manufacturing space with a clear story.

Project Timeline

•  8 weeks


•  Customer Segmentation Advisor
•  Project Manager


•  Research


•  There are a few ways for a client to enter the market with a new manufacturing facility, but a clear story and strategy is what is needed to pitch for funding.

Executive summary of report

This 8 week consulting project was initially designed to address the desire to build a rubber manufacturing plant in the US utilizing federal funding. Not fitting the requirements of the initial desired policy quickly pivoted the team away from a policy focus and toward a partnership focus. Two things became clear: (1) given the uncertainty, starting with the unmet need would shine more light on things not yet understood and (2) to successfully get the funding, crafting a compelling and clear story would be key. As such, research was divided into three sections: market analysis, market segmentation, and budgets with the team’s goals of:
  • Defining potential partnerships and needs to begin to create strategies. 
  • Packaging the new information to enhance investor attractiveness.
Research methods consisted of secondary research on government sites, competitor sites, various expert sites, review of market analysis reports from companies like Statista, McKinsey, and Deloitte, among other research. Five partnerships were explored and key incentives and risks are compiled in a chart on page 6. Each option has potential, but given the inherent uncertainty and common theme in the research, our suggestions are framed in two ways.
I. If Flexitech wants to get into the market quickly, and then expand, we suggest:
  • Outsource research and development to Malaysia.
  • Align with EBV Engineering, or similar, for joint contract opportunities.
  • Scale with contract financing, purchase orders, or an acquisition.
II. If Flexitech wants to be known for great innovation and research, we suggest:
  • Do not outsource the core function. Build and control from here.
  • Align with a school and focus on research projects.
  • Scale fast with funding from a manufacturing VC or slow with federal labs.
In addition, diversification will be a key way to offset risk in the supply chain, given the Malaysian rubber market may be about 43% of what it was prior to the 2020 pandemic. It is suggested to diversify suppliers at the earliest strategic opportunity.