Recommendations of Computer Reservation Systems An Industry Of Its Own Case Solution

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Recommendations of Computer Reservation Systems An Industry Of Its Own Case Study Analysis

RecommendationsOn the basis of above internal and external analysis of the business along with the assessment of different alternatives, the company is advised to think about alternative 3. As alternative 3 would enable the business to broaden in worldwide markets with no decrease in its regional profits and any degeneration of its market position. By thinking about Alternative 3, the company might keep its store experience and brand individuality. It could likewise consider alternative 2 that might permit the business to access the markets without any potential investment. Although, the business could pursue alternative 1 which would enable the business to concentrate on potential international markets rather than the local markets but as the business is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would lead to the considerable decline in business's revenue. For that reason, the business is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Computer Reservation Systems An Industry Of Its Own Case Analysis Stores

International SegmentsGrowth towards international markets through opening brand-new stores in other Europe and Asian countries with closing domestic stores is although an excellent choice for increasing the international existence of the business. However, the closing of domestic shops could highly affect the earnings of the firm as above 90% of its shops are located domestically and closing those shops would eventually lower the profits of the firm. Moreover, the company has a long term market position in United States which can not be produced quickly in the new markets. The option would help the business to broaden in global markets in addition to the removal of issues raised in its regional markets related to its variety. The pros and Cons for Alternative 1 are noted below;

Pros:

• Exploration of new international markets.
• Increase in earnings from global markets.
• Elimination of concerns connected to variety.
• Revenue diversification.
• Action towards being a strong international brand.

Cons:

• Loss of substantial profits from the regional markets.
• Boost in competitors.
• Differences in cultures could led to a failure of the brand name especially in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Computer Reservation Systems An Industry Of Its Own Case Help Stores

Alternative 2 includes the intro of online market locations through creating a correct company's site. With the increased trends towards online shopping, the online stores like Amazon, Alibaba and so on could posture a serious danger to the marketplace share of company. Moreover, the rivals are moving towards click and Recommendations of Computer Reservation Systems An Industry Of Its Own Case Help stores with Gap presenting Piperline. This shift towards online markets might minimize the earnings for company. In this situation the company might consider introducing Click and Recommendations of Computer Reservation Systems An Industry Of Its Own Case Help shops. These stores with a low requirement of funds to settle would allow the business to reach global markets, without ending its domestic stores. The advantages and disadvantages of option 2 are provided as follows;

Pros:

• Low financial investment
• Reducing competition threat
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Large Incomes
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the market position
• Elimination of brand name Originality
• Elimination of the terrific shop experience.
• Risk of decrease in elite sales.

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

Another choice that the company could consider, is to expand towards the international markets without closing its domestic shops that adds to the huge part of incomes of the company. The pros and cons related to Alternative 3 are given listed below;

Pros:

• Decreasing competition threat
• Access to the world markets
• Increasing the size of consumer base
• Big Earnings
• Expedition of brand-new global markets.
• Boost in earnings from international markets.
• Profits diversity.
• Action towards being a strong worldwide brand name.

Cons:

• Extension of issues related to diversity.
• Differences in cultures might caused a failure of the brand name especially in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenditures to get market share.



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