Recommendations of Tal Apparel Limited Stepping Up The Value Chain Case Solution

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Recommendations of Tal Apparel Limited Stepping Up The Value Chain Case Study Solution

On the basis of above internal and external analysis of the business along with the assessment of various alternatives, the business is recommended to consider alternative 3. As alternative 3 would permit the company to expand in worldwide markets without any reduction in its local revenues and any deterioration of its market position. The business might pursue alternative 1 which would enable the company to focus on potential global markets rather than the regional markets but as the company is highly reliant on the local markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the considerable decline in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Tal Apparel Limited Stepping Up The Value Chain Case Solution Stores

The company has a long term market position in United States which can not be created soon in the new markets. The choice would help the company to expand in worldwide markets along with the removal of concerns raised in its local markets related to its diversity.

Pros:

• Exploration of new worldwide markets.
• Boost in earnings from global markets.
• Elimination of issues related to diversity.
• Profits diversity.
• Step towards being a strong worldwide brand.

Cons:

• Loss of extensive revenues from the regional markets.
• Boost in competitors.
• Distinctions in cultures might led to a failure of the brand particularly in Asian nations.
• Low incomes at preliminary levels.
• Boost in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of Tal Apparel Limited Stepping Up The Value Chain Case Analysis Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could pose a serious hazard to the market share of company. In this circumstance the business might consider presenting Click and Recommendations of Tal Apparel Limited Stepping Up The Value Chain Case Solution stores. These shops with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic shops.

Pros:

• Low financial investment
• Minimizing competitors danger
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Large Earnings
• Low Operating Expense
• Easy brand-new market entryway

Cons:

• Danger to the market position
• Elimination of brand name Uniqueness
• Elimination of the great shop experience.
• Threat of decrease in elite sales.

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

Another choice that the business could consider, is to expand towards the international markets without closing its domestic shops that adds to the major part of earnings of the company. The advantages and disadvantages related to Alternative 3 are offered listed below;

Pros:

• Decreasing competition danger
• Access to the world markets
• Expanding consumer base
• Large Revenues
• Expedition of new worldwide markets.
• Increase in income from global markets.
• Income diversity.
• Step towards being a strong international brand.

Cons:

• Extension of issues connected to diversity.
• Distinctions in cultures could caused a failure of the brand name particularly in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenses to acquire market share.



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