Recommendations of Toyland Rubber Manufacturing Building A New Factory In Shanghai Case Help

Home >> Asia Case Research Centre >> Toyland Rubber Manufacturing Building A New Factory In Shanghai >> Recommendations

Recommendations of Toyland Rubber Manufacturing Building A New Factory In Shanghai Case Study Analysis

On the basis of above internal and external analysis of the company together with the evaluation of various alternatives, the company is recommended to think about alternative 3. As alternative 3 would enable the business to expand in global markets with no decrease in its regional profits and any wear and tear of its market position. By considering Alternative 3, the business could preserve its store experience and brand name individuality. It could also think about alternative 2 that might enable the company to access the markets without any potential financial investment. Although, the company could pursue alternative 1 which would make it possible for the business to concentrate on possible worldwide markets instead of the local markets however as the company is extremely depending on the regional markets with 90% of its shops in the US, there fore pursuing alternative 1 would result in the significant decline in company's earnings. The company is recommended to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Toyland Rubber Manufacturing Building A New Factory In Shanghai Case Help Stores

The company has a long term market position in US which can not be created soon in the new markets. The option would help the business to broaden in global markets along with the elimination of issues raised in its local markets related to its diversity.

Pros:

• Exploration of brand-new international markets.
• Increase in income from international markets.
• Removal of issues connected to diversity.
• Income diversification.
• Action towards being a strong worldwide brand name.

Cons:

• Loss of extensive revenues from the local markets.
• Boost in competition.
• Differences in cultures could resulted in a failure of the brand especially in Asian countries.
• Low incomes at preliminary levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Toyland Rubber Manufacturing Building A New Factory In Shanghai Case Solution Stores

Alternative 2 consists of the intro of online market locations through producing a proper company's website. With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. might position a severe threat to the market share of company. Furthermore, the competitors are shifting towards click and Recommendations of Toyland Rubber Manufacturing Building A New Factory In Shanghai Case Help stores with Gap presenting Piperline. This shift towards online markets could lower the profits for company. In this situation the business could consider presenting Click and Recommendations of Toyland Rubber Manufacturing Building A New Factory In Shanghai Case Analysis shops. These stores with a low requirement of funds to settle would make it possible for the company to reach worldwide markets, without ending its domestic shops. The pros and cons of option 2 are given as follows;

Pros:

• Low investment
• Reducing competitors hazard
• Access to the world markets
• Increasing the size of consumer base
• Easy to manage
• Big Revenues
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the market position
• Removal of brand name Uniqueness
• Removal of the fantastic store experience.
• Danger of decrease in elite sales.

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

Another alternative that the company might think about, is to broaden towards the worldwide markets without closing its domestic stores that adds to the major part of profits of the business. The benefits and drawbacks related to Alternative 3 are offered below;

Pros:

• Minimizing competition threat
• Access to the world markets
• Expanding customer base
• Big Earnings
• Exploration of new global markets.
• Increase in revenue from global markets.
• Profits diversity.
• Action towards being a strong global brand.

Cons:

• Continuation of concerns associated with diversity.
• Differences in cultures might resulted in a failure of the brand especially in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenditures to gain 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.