Team:UESTC-China/Entrepreneurship

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Problem recognition

Nowadays, it is almost impossible to live without paper, and the huge demand for paper makes paper market be one of the largest industries on the planet. The industry is the fifth largest energy consumer in the world, accounting for about 50 % of the world's industrial logging and losing 18,000,000 acres of forest every year, the equivalent of 20 football fields every minute.
As an important product of paper industry, office paper is the traditional carrier of recording information, and its annual consumption ranks second among all kinds of paper in the world. They are widely used to make examination papers, data, contracts, applications and other important tools for our work and life. It is hard to imagine what life would be like without them. However, have you ever wondered where the vast quantities of paper produced over the years end up?
Waste paper is an important renewable resource. In order to reduce resource consumption and environmental impact, the global paper industry is using a large number of waste paper for papermaking. Take China as an example, the use of waste pulp accounts for 55% of the total pulp consumption, which shows that waste paper has become the largest material for paper making. Office paper, however, was not among them. According to EU data, the recycling rate of cardboard boxes and newsprint is over 90%, while office waste paper is only about 12%. The problem of recycling office waste paper is imminent.

Stepped research

Considering the problem of waste paper reusing, we want to find an effective solution. When we think about it, we know that the first point is to be environmentally friendly. However, when people put forward a solution of environmental protection, it usually does not adapt to people's daily habits. For example, in order to protect trees, people are encouraged to abandon wooden chopsticks and use hands to eat. Such a plan will obviously fail to be implemented because it does not take into account people's actual situation and habits, resulting in problems that cannot be solved.
Therefore, we need to pay attention to the actual situation, such as: How will people reuse waste paper? How to design methods that are more consistent with users' daily habits? What do clients usually consider when deciding whether to accept our proposal? The answers to these questions can only be found in reality. Only when we constantly close to the needs of users, can we find an effective, satisfactory and feasible solution.
Research is an important way to get into reality. Considering that people in different scenarios have different needs, we designed four research activities. These four surveys have their own focus and provide ideas for our project design step by step. These four studies are: social research, school research, demand research, and field trips. Their purposes and results are summarized in Table 1.
Table1. Horizontal comparison of four surveys
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Our research strategy is as follows:
At the beginning, we quickly got the opinions of some people in a low-cost way, which was convenient to provide initial ideas for the design of the project;
In the mid-term, we designed the project based on what we knew. In order to refine users' opinions and suggestions, we expanded the types of research groups and the number of samples, making the data we collected more scientific and reliable;
Later, we carried out field investigations based on the research results to further ensure that the phenomenon we analyzed based on the research results was correct.
The details of the four researches are shown as follows.

Social research

Our project began during the epidemic period , so our team members carried out a preliminary survey of relevant people in their hometown due to the limitations of the conditions. We divided the subjects into community or office workers and those in charge of recycling stations. For different groups of people, we drew up different research programs and carried out research in groups.
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Figure1. Social research
If you want to know more about our community survey and recycle bin survey, you can click the following link to download:

School survey

Based on the experience of the first initial survey, we modified and refined the survey questions and plans, and also investigated new problems encountered in the development of the project. We conducted a survey for middle school students and teachers, and issued questionnaires. A total of 93 questionnaires were collected, including 89 from students and 4 from teachers and administrative staff.
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Figure2. School survey

Demand survey

The preliminary investigation was carried out in only a small number of groups, but the market and target group of deinking printer are not clear, and the information collected is limited. But product design needs to understand customer groups and conduct demand analysis, so it is in urgent need of larger sample size and more systematic research.
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Figure3. Demand survey
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Figure4. Target customers
For more information about our demand survey, please click the link below.

Site visit

According to the advice of experts, we carried out further research on the current situation of the industry, and verified our early research results at the same time. We visited the recycling station and talked to the manager.
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Figure5. Site visit.

What did stepped research guide us

How to more effectively complete the reuse of office waste paper? We recognize that office paper has many characteristics that are not convenient for recycling, such as dispersion, low price, and easy pollution. These characteristics make it difficult for office waste paper to enter the papermaking cycle through multiple recycling processes. Therefore, the key to the reuse of office waste paper is to avoid the quality loss of paper in the recycling system, and the best way to achieve this is to complete the recovery, processing and reuse directly at the source of the waste paper. CCombined with the questionnaire survey, we found that the office population naturally has a need for paper reuse. About 58% of the interviewed people said that the reuse of waste paper is their main method of processing waste paper, which accounts for the highest proportion of all waste paper treatment methods! So we decided to build Deinker to realize the in-situ recycling of office waste paper!

Business plan

According to the results of the previous research, we decided to enter the market by creating an innovative equipment for waste paper recycling and reprocessing directly at the consumer end. The key to successful market entry is an effective biological deinking materials, an executable hardware device, and a logical business plan. The highlights of our business plan are as follows.

Market

1.Macro market analysis

First of all, we use PEST model to conduct macro market analysis and establish an overall market model.
(1) From the perspective of political environment, the policy is biased towards environmental protection industry, does not support waste import and pays attention to the use of renewable resources.
(2) From the perspective of economic environment, the consumption of office paper in China still ranks in the forefront of the paper industry, and maintains a certain growth rate.
(3) From the perspective of social environment, the group of office paper users is large and shows an increasing trend, and the demand for paper also increases accordingly. At the same time, with the implementation of the concept of using consumption to express their will, office waste paper recycling technology based on the concept of environmental protection will have a corresponding market prospect.
(4) From the technical point of view, although the current chemical deinking technology is relatively mature, it still has some shortcomings compared with the biological enzyme method in terms of application scenarios, application conditions, application effects and application costs.
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Figure6. PEST model.

2. Market research data

Based on the demand survey data (486 valid samples from seven different office groups), we obtained the following market characteristics.
(1) The amount of paper used by different people.
According to the survey data, the daily and average paper consumption of each group was estimated (see Table2). It can be seen that the daily paper consumption of government employees is the highest, while the daily paper consumption of college students is the lowest, which is the only group whose daily paper consumption is lower than the average (Average paper consumption: For paperless office: 0, 0-2 is 1, 2-5 is 4, 5-10 is 7, 10-20 is 15, 20 or more is 20).
Table2. Daily and average paper use of different groups.
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(2) Waste paper disposal in different groups.
According to the results of the survey, the most common disposal of office waste paper is reuse or direct discarding. Among them, the proportion of secondary reuse is the largest, floating in the range of 40%-60%, which indicates that different groups all have the behavior habit of paper reuse.
(3) Willingness to use Deinker equipment.
Deinker equipment use willing survey results show that government department workers, students, public institutions, office staff, teachers and individuals are more willing to use, among which government department workers have higher predicted data of use degree.

3. Market positioning

We use STP theory to analyze the market of the project, determine the target market and position the product market.
(1) Market Segmenting
Based on our demand survey results, we identified market segmentation variables (Table 3).
Table3. Market segmentation variables.
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(2) Market Targeting
We have determined that the target market of this project is the group with high paper consumption, demand for waste paper reuse or recycling, medium or higher willingness to use equipment, and pursuit of environmental benefits above economic benefits. They are mainly government department workers, teachers, primary and secondary school students, and office staff of enterprises and public institutions.
(3) Market Positioning
To provide an efficient, environmentally friendly office waste paper recycling solution for the target office group.
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Figure7. Market positioning.

Products and services

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Figure8. Deinker concept map.(Design details can be seen at Hardware overview

1.Research and development progress

(1)Completed part
a.The function and principle of cellulase, xylanase, laccase and lipase for deinking office waste paper have been preliminarilly verified. Commercial enzymes have been used to complete deinking experiments for many times and a large number of experimental data have been obtained.
b.The designed plasmid has been successfully transferred into Pichia pastoris, and cellulase, xylanase, laccase and lipase have been successfully expressed.
c.Complete the design and production of the third-generation deinking machine, and complete the automated deinking experiment on the machine, and obtain feedback to optimize the equipment
(2) The section under development
a.Modification of enzymes
b.Enzyme synergistic combination and application of fibrin body
c.Production of enzyme preparations
d.Realize point-to-point deinking based on ink point recognition model

2.Expected product

We were eventually able to produce our own deinking enzymes and manufacture the enzyme preparation for market sale. Our equipment can eventually achieve miniaturization, whose size is similar to the general office small printer, and it also has the same operation process as a printer. So the users only need to put the paper into the machine, and wait for the paper to be taken out after the completion of deinking, and the deinking speed of the device is also similar to printer printing speed. We expect to build an integrated deinking and printing device in the future.

3.Product innovation

(1) In the form of no pulp to achieve waste paper regeneration.
(2) The efficiency of enzyme deinking was improved by using new fcellulosome.
(3) Use artificial intelligence algorithm to assist waste paper deinking.
(4) Miniaturization of deinking machine.
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Figure9. Product innovation.

Product competition

As Deinker is an innovative office product, there are few products that directly compete with it in the market. At present, only PaperLab A-8000Z, developed by EPSON Company, has similar functions. Therefore, we conducted product competition analysis on traditional paper mill, PaperLab A-8000Z and Deinker.
In addition, we also carried out a competitive analysis of traditional waste paper recycling and our products, summarized also in table 4.
Table4. Competition Analysis of Traditional Paper Mill, PaperLab A-8000Z and Deinker.
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Business model

Business model is the core of business plan. Excellent business model is the series planning and operation of pushing products to customers, and it is also the key to commercial success. We use the business model canvas to conduct a comprehensive analysis and design of our business model.
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Figure10. Business model

Innovation and Entrepreneurship Competition

One idea we learned at an HP roundtable organized by CCiC was that "Exposure to teams that are doing innovation will help you make breakthroughs." This insight inspired us to improve ourselves in the innovation and entrepreneurship competition and gain new ideas from the communication with the competitive teams and professional judges.
Figure11. China-U.S. Young Maker Competition.Click on the pictures below to learn more about the competition.
Figure12. Zhongguancun Talent Maker Competition.Click on the pictures below to learn more about the competition.
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Figure13. Chinese University Life Science Competition.
Figure14. iGEM 2021 Team Impact Grant.Click on the pictures below to learn more about the competition.

Visits and interviews

Communication with mature enterprises and innovation and entrepreneurship scholars also provided us with many suggestions on product research and development, which helped us to form a better business plan. Click on the image below to learn more. Click on the image below to learn more.
Figure 15. Visits and interviews.

Future plan

In our early research and development stage, our school and college gave us great support and provided us with early financial support, which we took as our start-up fund, so we gave the school the owner of the patent we applied for for our work.
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Figure16. The patent we applied for our work.
After preliminary work, we got the initial hardware model on the hardware and verified the function of enzymes in biological experiments. On this basis, through market demand research and other work, we collected users' demands for Deinker equipment, and made detailed plans for the commercialization of Deinker. The process of Deinker's commercialization can be said to have a good result in the early stage.
In order to further advance the commercialization work, we need to further implement the following two main aspects:
1.To upgrade technology
(1) In the biological part: The synergistic ratio of cellulosome can be further adjusted. In addition, making protein modifications helps us further improvement of enzyme efficiency. The production and transportation process of deinking enzyme preparations also need to be considered.
(2) In the hardware part: It is necessary to further develop more automatic and high-throughput paper regeneration deinking machine equipment, and it is necessary to plan and consider different forms of deinking machine, such as portable pen type and large-scale community type equipment, to adapt to the needs of different application scenarios and applicable groups.
(3) In the part of artificial intelligence: Further optimization and implement of the algorithm of ink spot recognition, paper drying, hardware mechanical automatic control in the hardware module.
2.Solve the funding problem
These technologies require us to have enough start-up capital and create a company to incubate them. We need to further formulate the financing plan and take action.
Fortunately, we met a lot of investors and people in charge of business incubation bases during the entrepreneurship competitions. We had close communication with several of the investors in the follow-up. Among them, Hangzhou Tuanhuo Network Technology Company has reached an oral agreement with us. Based on the recognition of the market of our product, they are willing to provide us with certain financial support, and provide the operation model and e-commerce platform for the marketization of our product.
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Figure17. Online meeting with Hangzhou Tuanhuo Network Technology Company

References

[1] Tonner buzz. Facts About Paper: How Paper Affects the Environment[EB/OL]. 2021-06-03[2021-10-08].
[2] Environmental Paper Network. The state of the global paper industry[EB/OL]. 2018[2021-10-09].

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