Recommendations of Congoleum Corporation (Abridged) Case Analysis

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Recommendations of Congoleum Corporation (Abridged) Case Study Help

On the basis of above internal and external analysis of the business along with the assessment of various options, the business is suggested to think about alternative 3. As alternative 3 would enable the business to expand in global markets without any decrease in its regional profits and any degeneration of its market position. The business might pursue alternative 1 which would allow the company to focus on potential global markets rather than the local markets but as the business is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the substantial decline in business's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Congoleum Corporation (Abridged) Case Analysis Stores

The company has a long term market position in United States which can not be generated quickly in the brand-new markets. The alternative would help the business to broaden in global markets along with the removal of issues raised in its regional markets related to its diversity.

Pros:

• Expedition of new international markets.
• Increase in earnings from worldwide markets.
• Removal of concerns connected to diversity.
• Profits diversity.
• Action towards being a strong worldwide brand name.

Cons:

• Loss of extensive profits from the local markets.
• Increase in competition.
• Distinctions in cultures could led to a failure of the brand particularly in Asian nations.
• Low revenues at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Congoleum Corporation (Abridged) Case Help Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could position a serious hazard to the market share of company. In this situation the company could consider introducing Click and Recommendations of Congoleum Corporation (Abridged) Case Analysis stores. These stores with a low requirement of funds to settle would enable the business to reach worldwide markets, without ending its domestic stores.

Pros:

• Low investment
• Decreasing competition danger
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Large Revenues
• Low Operating Expense
• Easy new market entryway

Cons:

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

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

Another alternative that the company could consider, is to expand towards the worldwide markets without closing its domestic stores that adds to the major part of earnings of the company. The pros and cons associated with Alternative 3 are offered listed below;

Pros:

• Lowering competition hazard
• Access to the world markets
• Increasing the size of customer base
• Big Incomes
• Exploration of brand-new international markets.
• Increase in income from worldwide markets.
• Income diversity.
• Step towards being a strong global brand name.

Cons:

• Continuation of concerns associated with diversity.
• Differences in cultures could caused a failure of the brand especially in Asian nations.
• Low revenues at preliminary levels.
• Increase in marketing expenses to gain market share.



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