Recommendations of Facebook Facing Off Against Tencent Case Help

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Recommendations of Facebook Facing Off Against Tencent Case Study Solution

On the basis of above internal and external analysis of the business in addition to the assessment of different alternatives, the company is recommended to consider alternative 3. As alternative 3 would enable the company to expand in global markets without any decrease in its regional revenues and any wear and tear of its market position. By thinking about Alternative 3, the company might keep its store experience and brand individuality. However, it could also consider alternative 2 that could permit the company to access the markets without any potential investment. The business could pursue alternative 1 which would make it possible for the company to focus on potential worldwide markets rather than the regional markets but as the business is extremely dependent on the local markets with 90% of its stores in the United States, there fore pursuing option 1 would result in the substantial decline in company's profits. Therefore, the company is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Facebook Facing Off Against Tencent Case Help Stores

The business has a long term market position in United States which can not be generated soon in the brand-new markets. The alternative would assist the business to expand in worldwide markets along with the removal of problems raised in its regional markets related to its variety.

Pros:

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

Cons:

• Loss of extensive revenues from the regional markets.
• Boost in competitors.
• Distinctions in cultures might caused a failure of the brand name specifically in Asian nations.
• Low incomes at initial levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Facebook Facing Off Against Tencent Case Help Stores

With the increased trends towards online shopping, the online stores like Amazon, Alibaba and so on might posture an extreme threat to the market share of business. In this situation the company might think about introducing Click and Recommendations of Facebook Facing Off Against Tencent Case Solution shops. These shops with a low requirement of funds to settle would make it possible for the company to reach worldwide markets, without ending its domestic stores.

Pros:

• Low investment
• Reducing competition threat
• Access to the world markets
• Enlarging customer base
• Easy to handle
• Large Earnings
• Low Operating Expense
• Easy new market entrance

Cons:

• Threat to the marketplace position
• Elimination of brand Uniqueness
• Removal of the terrific store experience.
• Threat of decline in elite sales.

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

Another choice that the company might think about, is to broaden towards the international markets without closing its domestic stores that adds to the major part of incomes of the company. The pros and cons connected to Alternative 3 are offered below;

Pros:

• Lowering competitors risk
• Access to the world markets
• Expanding consumer base
• Large Earnings
• Exploration of brand-new worldwide markets.
• Increase in revenue from global markets.
• Income diversification.
• Step towards being a strong international brand.

Cons:

• Continuation of concerns related to variety.
• Differences in cultures could resulted in a failure of the brand especially in Asian nations.
• Low incomes at preliminary levels.
• Boost in marketing expenditures to get market share.



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