Recommendations of Congoleum Corporation Case Analysis

Home >> Darden Business School >> Congoleum Corporation >> Recommendations

Recommendations of Congoleum Corporation Case Study Help

On the basis of above internal and external analysis of the business along with the examination of various options, the company is recommended to consider alternative 3. As alternative 3 would enable the company to expand in global markets without any reduction in its regional revenues and any wear and tear of its market position. The business could pursue alternative 1 which would enable the company to focus on possible worldwide markets rather than the regional markets however as the business is highly reliant on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the considerable decline in business's income.

Aletrnative-1: Expanding International Brick and Recommendations of Congoleum Corporation Case Help Stores

Expansion towards worldwide markets through opening brand-new shops in other Europe and Asian nations with closing domestic shops is although a good choice for increasing the international existence of the business. The closing of domestic stores might extremely impact the incomes of the firm as above 90% of its stores are situated locally and closing those shops would ultimately lower the incomes of the company. The company has a long term market position in US which can not be produced soon in the brand-new markets. The option would assist the company to broaden in worldwide markets along with the elimination of issues raised in its local markets related to its variety. The pros and Cons for Alternative 1 are noted below;

Pros:

• Expedition of new global markets.
• Boost in revenue from international markets.
• Elimination of problems related to variety.
• Income diversity.
• Step towards being a strong worldwide brand name.

Cons:

• Loss of substantial incomes from the regional markets.
• Boost in competition.
• Differences in cultures could resulted in a failure of the brand name specifically in Asian nations.
• Low earnings at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Congoleum Corporation Case Solution Stores

With the increased trends towards online shopping, the online stores like Amazon, Alibaba and so on might position an extreme danger to the market share of business. In this situation the business might consider presenting Click and Recommendations of Congoleum Corporation Case Analysis shops. 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
• Decreasing competition threat
• Access to the world markets
• Expanding consumer base
• Easy to manage
• Large Earnings
• Low Operating Costs
• Easy new market entrance

Cons:

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

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

Another alternative that the business might think about, is to expand towards the global markets without closing its domestic shops that contributes to the major part of profits of the company. The pros and cons associated with Alternative 3 are provided listed below;

Pros:

• Reducing competitors danger
• Access to the world markets
• Enlarging customer base
• Large Earnings
• Expedition of brand-new global markets.
• Boost in earnings from worldwide markets.
• Earnings diversification.
• Action towards being a strong international brand name.

Cons:

• Continuation of problems connected to diversity.
• Differences in cultures could led to a failure of the brand especially in Asian nations.
• Low revenues 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.