Recommendations of To Move Or Not To Move Cathay Pacific Airways Case Solution

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Recommendations of To Move Or Not To Move Cathay Pacific Airways Case Study Help

On the basis of above internal and external analysis of the business along with the assessment of different alternatives, the company is suggested to think about alternative 3. As alternative 3 would enable the company to broaden in international markets without any decrease in its regional incomes and any degeneration of its market position. The company might pursue alternative 1 which would allow the business to focus on possible global markets rather than the local markets but as the business is highly dependent on the regional markets with 90% of its shops in the US, there fore pursuing option 1 would result in the substantial decrease in business's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of To Move Or Not To Move Cathay Pacific Airways Case Analysis Stores

The business has a long term market position in US which can not be produced soon in the brand-new markets. The choice would assist the business to broaden in global markets along with the removal of problems raised in its regional markets related to its variety.

Pros:

• Expedition of brand-new worldwide markets.
• Boost in earnings from worldwide markets.
• Removal of concerns associated with diversity.
• Revenue diversity.
• Action towards being a strong international brand.

Cons:

• Loss of substantial revenues from the local markets.
• Boost in competitors.
• Distinctions in cultures might caused a failure of the brand especially in Asian nations.
• Low revenues at preliminary levels.
• Boost in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of To Move Or Not To Move Cathay Pacific Airways Case Solution Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. might posture a severe hazard to the market share of business. In this circumstance the business could consider presenting Click and Recommendations of To Move Or Not To Move Cathay Pacific Airways Case Solution stores. These stores with a low requirement of funds to settle would allow the business to reach global markets, without ending its domestic shops.

Pros:

• Low investment
• Reducing competition danger
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Big Revenues
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Hazard to the market position
• Elimination of brand name Originality
• Removal of the excellent store experience.
• Danger of decrease in elite sales.

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

Another choice that the business could think about, is to expand towards the global markets without closing its domestic shops that adds to the huge part of earnings of the company. The advantages and disadvantages connected to Alternative 3 are given below;

Pros:

• Decreasing competition hazard
• Access to the world markets
• Enlarging customer base
• Big Profits
• Expedition of new worldwide markets.
• Boost in earnings from international markets.
• Earnings diversification.
• Step towards being a strong worldwide brand name.

Cons:

• Continuation of concerns connected to diversity.
• Differences in cultures might resulted in a failure of the brand specifically in Asian nations.
• Low profits at initial levels.
• Boost in marketing expenses to get market share.



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