Recommendations of Fighting Financial Crises: Problems And Remedies Case Analysis

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Recommendations of Fighting Financial Crises: Problems And Remedies Case Study Help

On the basis of above internal and external analysis of the company in addition to the evaluation of different alternatives, the company is advised to think about alternative 3. As alternative 3 would permit the business to expand in global markets with no reduction in its regional earnings and any degeneration of its market position. By thinking about Alternative 3, the company could maintain its store experience and brand name uniqueness. Nevertheless, it could also consider alternative 2 that could permit the company to access the markets with no potential investment. Although, the company might pursue alternative 1 which would enable the company to concentrate on prospective international markets rather than the regional markets however as the company 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. The company is advised to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Fighting Financial Crises: Problems And Remedies Case Solution Stores

The business has a long term market position in US which can not be generated quickly in the new markets. The option would assist the company to expand in global markets along with the removal of concerns raised in its regional markets related to its diversity.

Pros:

• Expedition of new global markets.
• Increase in revenue from worldwide markets.
• Removal of issues connected to variety.
• Profits diversity.
• Action towards being a strong global brand.

Cons:

• Loss of extensive profits from the regional markets.
• Boost in competition.
• Differences in cultures could resulted in a failure of the brand particularly in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Fighting Financial Crises: Problems And Remedies Case Help Stores

Alternative 2 includes the introduction of online market places through generating a proper company's website. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. might posture an extreme hazard to the market share of company. Furthermore, the competitors are shifting towards click and Recommendations of Fighting Financial Crises: Problems And Remedies Case Solution shops with Gap introducing Piperline. This shift towards online markets might decrease the revenues for company. In this situation the company might consider introducing Click and Recommendations of Fighting Financial Crises: Problems And Remedies Case Solution shops. These shops with a low requirement of funds to settle would allow the business to reach global markets, without ending its domestic stores. The pros and cons of alternative 2 are given as follows;

Pros:

• Low investment
• Reducing competitors danger
• Access to the world markets
• Expanding consumer base
• Easy to manage
• Large Revenues
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Removal of brand name Uniqueness
• Removal of the great store experience.
• Danger 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 international markets without closing its domestic shops that contributes to the huge part of earnings of the business. The pros and cons associated with Alternative 3 are offered below;

Pros:

• Lowering competitors danger
• Access to the world markets
• Enlarging customer base
• Large Earnings
• Exploration of new worldwide markets.
• Increase in earnings from worldwide markets.
• Income diversity.
• Action towards being a strong global brand name.

Cons:

• Continuation of issues related to diversity.
• Differences in cultures might resulted in a failure of the brand name especially in Asian nations.
• Low incomes at preliminary levels.
• Increase in marketing expenses to acquire market share.



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