Recommendations of Chinese Medicine In An Emerging Market Case Analysis

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Recommendations of Chinese Medicine In An Emerging Market Case Study Help

On the basis of above internal and external analysis of the business along with the examination of different options, the company is recommended to think about alternative 3. As alternative 3 would enable the business to broaden in international markets without any reduction in its regional profits and any deterioration of its market position. The business could pursue alternative 1 which would make it possible for the company to focus on potential global markets rather than the local markets however as the business is highly reliant on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the significant decrease in company's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Chinese Medicine In An Emerging Market Case Solution Stores

The company has a long term market position in United States which can not be generated quickly in the new markets. The alternative would assist the company to expand in worldwide markets along with the elimination of issues raised in its local markets related to its diversity.

Pros:

• Expedition of brand-new international markets.
• Increase in income from worldwide markets.
• Removal of problems connected to variety.
• Revenue diversity.
• Step towards being a strong worldwide brand.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Boost in competition.
• Differences in cultures could resulted in a failure of the brand especially in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Chinese Medicine In An Emerging Market Case Analysis Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might pose an extreme threat to the market share of company. In this scenario the business might think about presenting Click and Recommendations of Chinese Medicine In An Emerging Market Case Analysis stores. These shops with a low requirement of funds to settle would allow the business to reach worldwide markets, without ending its domestic stores.

Pros:

• Low financial investment
• Minimizing competition danger
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Big Revenues
• Low Operating Expense
• Easy new market entryway

Cons:

• Threat to the market position
• Removal of brand Uniqueness
• Elimination of the excellent store experience.
• Danger of decrease in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another choice that the business might think about, is to expand towards the international markets without closing its domestic shops that contributes to the major part of earnings of the company. The pros and cons related to Alternative 3 are provided listed below;

Pros:

• Decreasing competition hazard
• Access to the world markets
• Increasing the size of customer base
• Big Earnings
• Exploration of brand-new global markets.
• Boost in profits from global markets.
• Income diversity.
• Action towards being a strong global brand.

Cons:

• Extension of concerns associated with diversity.
• Distinctions in cultures might resulted in a failure of the brand particularly in Asian countries.
• Low earnings at initial levels.
• Increase in marketing expenditures to gain market share.



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