Recommendations of Honda Innovation The Chinese Way Case Help

Home >> Asia Case Research Centre >> Honda Innovation The Chinese Way >> Recommendations

Recommendations of Honda Innovation The Chinese Way Case Study Solution

On the basis of above internal and external analysis of the company together with the examination of different options, the company is recommended to consider alternative 3. As alternative 3 would enable the business to expand in worldwide markets without any reduction in its regional revenues and any deterioration of its market position. By considering Alternative 3, the company might preserve its store experience and brand name uniqueness. However, it might also consider alternative 2 that could enable the company to access the markets with no potential financial investment. Although, the business might pursue alternative 1 which would allow the company to concentrate on prospective worldwide markets rather than the local markets however as the company is extremely dependent on the local markets with 90% of its stores in the United States, there fore pursuing option 1 would lead to the substantial decline in business's income. The company is recommended to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Honda Innovation The Chinese Way Case Help Stores

The company has a long term market position in US which can not be generated soon in the new markets. The option would assist the business to expand in global markets along with the removal of issues raised in its regional markets related to its variety.

Pros:

• Exploration of brand-new global markets.
• Increase in income from international markets.
• Removal of problems associated with variety.
• Earnings diversification.
• Step towards being a strong international brand.

Cons:

• Loss of comprehensive incomes from the local markets.
• Boost in competitors.
• Differences in cultures might led to a failure of the brand name particularly in Asian nations.
• Low profits at initial levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Honda Innovation The Chinese Way Case Solution Stores

Alternative 2 consists of the intro of online market locations through generating a proper business's website. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might pose an extreme threat to the market share of company. Additionally, the rivals are moving towards click and Recommendations of Honda Innovation The Chinese Way Case Solution shops with Space introducing Piperline. This shift towards online markets could minimize the earnings for company. In this circumstance the company might think about introducing Click and Recommendations of Honda Innovation The Chinese Way Case Help stores. These stores with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic stores. The pros and cons of alternative 2 are offered as follows;

Pros:

• Low investment
• Lowering competition hazard
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Big Earnings
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Hazard to the market position
• Removal of brand name Individuality
• Removal of the great store experience.
• Danger 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 worldwide markets without closing its domestic shops that adds to the huge part of profits of the business. The advantages and disadvantages associated with Alternative 3 are given below;

Pros:

• Decreasing competitors risk
• Access to the world markets
• Expanding customer base
• Large Incomes
• Exploration of new international markets.
• Increase in income from international markets.
• Revenue diversity.
• Action towards being a strong global brand name.

Cons:

• Extension of problems connected to diversity.
• Distinctions in cultures could caused a failure of the brand name particularly in Asian countries.
• Low earnings at initial levels.
• Boost in marketing expenses to get market share.



This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.