Recommendations of Flowers Industries Inc Case Help

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Recommendations of Flowers Industries Inc Case Study Solution

RecommendationsOn the basis of above internal and external analysis of the business along with the examination of numerous options, the company is suggested to think about alternative 3. As alternative 3 would permit the company to broaden in global markets without any decrease in its local earnings and any degeneration of its market position. By considering Alternative 3, the company might preserve its store experience and brand name individuality. It might also consider alternative 2 that could enable the business to access the markets without any possible investment. Although, the business might pursue alternative 1 which would enable the business to concentrate on potential worldwide markets rather than the local markets but as the company is extremely based on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would lead to the significant decline in business's income. For that reason, the company is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Flowers Industries Inc Case Help Stores

International SegmentsThe business has a long term market position in United States which can not be created quickly in the brand-new markets. The choice would help the company to expand in international markets along with the removal of concerns raised in its local markets related to its diversity.

Pros:

• Exploration of brand-new worldwide markets.
• Boost in earnings from international markets.
• Elimination of problems connected to variety.
• Earnings diversity.
• Action towards being a strong international brand name.

Cons:

• Loss of comprehensive revenues from the regional markets.
• Increase in competition.
• Distinctions in cultures could caused a failure of the brand specifically in Asian countries.
• Low earnings at initial levels.
• Increase in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Flowers Industries Inc Case Help Stores

Alternative 2 includes the introduction of online market locations through creating a proper company's website. With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could posture a serious risk to the market share of business. The competitors are shifting towards click and Recommendations of Flowers Industries Inc Case Analysis stores with Gap presenting Piperline. This shift towards online markets could decrease the profits for business. In this situation the business could consider presenting Click and Recommendations of Flowers Industries Inc Case Analysis shops. These stores with a low requirement of funds to settle would make it possible for the company to reach global markets, without ending its domestic stores. The benefits and drawbacks of alternative 2 are offered as follows;

Pros:

• Low investment
• Minimizing competition threat
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Revenues
• Low Operating Expense
• Easy new market entrance

Cons:

• Risk to the marketplace position
• Elimination of brand Individuality
• Removal of the terrific shop experience.
• Risk of decline in elite sales.

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

Another choice that the business might consider, is to expand towards the international markets without closing its domestic shops that contributes to the huge part of profits of the business. The benefits and drawbacks connected to Alternative 3 are given below;

Pros:

• Minimizing competitors danger
• Access to the world markets
• Enlarging consumer base
• Large Revenues
• Expedition of new global markets.
• Boost in revenue from global markets.
• Revenue diversification.
• Step towards being a strong worldwide brand name.

Cons:

• Continuation of problems connected to diversity.
• Differences in cultures might resulted in a failure of the brand name especially in Asian countries.
• Low incomes at initial levels.
• Increase in marketing expenditures to acquire market share.



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