Recommendations of General Electrics Proposed Acquisition Of Honeywell Case Help

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Recommendations of General Electrics Proposed Acquisition Of Honeywell Case Study Analysis

On the basis of above internal and external analysis of the company along with the examination of different alternatives, the business is advised to consider alternative 3. As alternative 3 would enable the company to expand in worldwide markets without any decrease in its local revenues and any wear and tear of its market position. The business could pursue alternative 1 which would allow the company to focus on possible international markets rather than the local markets but as the business is highly dependent on the regional markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the substantial decline in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of General Electrics Proposed Acquisition Of Honeywell Case Analysis Stores

The business has a long term market position in United States which can not be created soon in the new markets. The alternative would help the company to broaden in international markets along with the elimination of problems raised in its local markets related to its variety.

Pros:

• Expedition of brand-new international markets.
• Boost in revenue from international markets.
• Elimination of issues associated with variety.
• Revenue diversification.
• Step towards being a strong international brand name.

Cons:

• Loss of extensive profits from the regional markets.
• Boost in competitors.
• Differences in cultures might led to a failure of the brand especially in Asian countries.
• Low revenues at preliminary levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of General Electrics Proposed Acquisition Of Honeywell Case Help Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might present a severe hazard to the market share of business. In this situation the business might think about presenting Click and Recommendations of General Electrics Proposed Acquisition Of Honeywell Case Solution stores. These stores with a low requirement of funds to settle would allow the business to reach global markets, without ending its domestic stores.

Pros:

• Low investment
• Minimizing competition threat
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Large Incomes
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Elimination of brand name Individuality
• Removal of the terrific shop experience.
• Danger of decrease in elite sales.

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

Another option that the business might consider, is to broaden towards the international markets without closing its domestic shops that contributes to the major part of earnings of the company. The advantages and disadvantages connected to Alternative 3 are offered listed below;

Pros:

• Lowering competitors danger
• Access to the world markets
• Enlarging consumer base
• Big Revenues
• Exploration of new global markets.
• Boost in income from international markets.
• Profits diversification.
• Action towards being a strong international brand.

Cons:

• Extension of issues associated with diversity.
• Distinctions in cultures might resulted in a failure of the brand particularly in Asian countries.
• Low incomes at initial levels.
• Boost in marketing expenditures to gain market share.



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