Recommendations of Hong Kongs National Information Infrastructure Case Analysis

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Recommendations of Hong Kongs National Information Infrastructure Case Study Solution

On the basis of above internal and external analysis of the company along with the examination of different options, the business is advised to think about alternative 3. As alternative 3 would permit the company to broaden in worldwide markets without any decrease in its regional profits and any wear and tear of its market position. The company could pursue alternative 1 which would make it possible for the business to focus on possible international markets rather than the local markets however as the business is extremely reliant on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the substantial decrease in company's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Hong Kongs National Information Infrastructure Case Solution Stores

Expansion towards worldwide markets through opening new stores in other Europe and Asian countries with closing domestic shops is although a great option for increasing the global existence of the company. The closing of domestic shops might highly impact the revenues of the firm as above 90% of its shops are located domestically and closing those stores would ultimately decrease the profits of the company. Furthermore, the business has a long term market position in United States which can not be created quickly in the new markets. The option would help the company to broaden in worldwide markets along with the removal of concerns raised in its local markets associated with its variety. The pros and Cons for Alternative 1 are listed below;

Pros:

• Exploration of brand-new worldwide markets.
• Boost in earnings from worldwide markets.
• Elimination of problems related to variety.
• Income diversity.
• Step towards being a strong international brand.

Cons:

• Loss of extensive incomes from the regional markets.
• Boost in competition.
• Distinctions in cultures could led to a failure of the brand name specifically in Asian nations.
• Low profits at preliminary levels.
• Increase in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Hong Kongs National Information Infrastructure Case Help Stores

Alternative 2 includes the intro of online market places through producing a proper company's site. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might position a severe danger to the marketplace share of company. The competitors are shifting towards click and Recommendations of Hong Kongs National Information Infrastructure Case Analysis shops with Gap introducing Piperline. This shift towards online markets might reduce the incomes for business. In this situation the company could consider presenting Click and Recommendations of Hong Kongs National Information Infrastructure Case Solution stores. These stores with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic shops. The pros and cons of alternative 2 are provided as follows;

Pros:

• Low financial investment
• Minimizing competitors hazard
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Profits
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Risk to the market position
• Removal of brand name Uniqueness
• Elimination of the fantastic store experience.
• Risk of decline in elite sales.

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

Another option that the business could think about, is to broaden towards the worldwide markets without closing its domestic shops that contributes to the huge part of profits of the business. The pros and cons connected to Alternative 3 are offered below;

Pros:

• Decreasing competitors danger
• Access to the world markets
• Increasing the size of consumer base
• Large Incomes
• Expedition of new global markets.
• Boost in earnings from international markets.
• Earnings diversification.
• Action towards being a strong international brand.

Cons:

• Extension of issues associated with diversity.
• Distinctions in cultures might resulted in a failure of the brand specifically in Asian countries.
• Low incomes at initial levels.
• Increase in marketing expenditures to get market share.



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