Recommendations of Glaxo Italia Spa The Zinnat Marketing Decision Software Case Analysis

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Recommendations of Glaxo Italia Spa The Zinnat Marketing Decision Software Case Study Solution

On the basis of above internal and external analysis of the company along with the evaluation of different alternatives, the company is advised to think about alternative 3. As alternative 3 would enable the business to broaden in global markets without any decrease in its regional incomes and any deterioration of its market position. The company might pursue alternative 1 which would make it possible for the business to focus on prospective global markets rather than the local markets but as the business is highly reliant on the local markets with 90% of its shops in the US, there fore pursuing option 1 would result in the significant decrease in business's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Glaxo Italia Spa The Zinnat Marketing Decision Software Case Solution Stores

Expansion towards worldwide markets through opening brand-new shops in other Europe and Asian countries with closing domestic shops is although a great alternative for increasing the global presence of the business. However, the closing of domestic stores could highly affect the incomes of the company as above 90% of its stores lie domestically and closing those shops would eventually reduce the profits of the company. Furthermore, the company has a long term market position in United States which can not be created soon in the new markets. The option would help the company to expand in worldwide markets in addition to the elimination of problems raised in its regional markets related to its variety. The benefits and drawbacks for Option 1 are listed below;

Pros:

• Exploration of new international markets.
• Boost in revenue from worldwide markets.
• Elimination of concerns associated with variety.
• Revenue diversification.
• Action towards being a strong worldwide brand.

Cons:

• Loss of extensive profits from the local markets.
• Boost in competitors.
• Differences in cultures could caused a failure of the brand name particularly in Asian countries.
• Low incomes at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Glaxo Italia Spa The Zinnat Marketing Decision Software Case Solution Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might posture an extreme danger to the market share of business. In this situation the business might think about presenting Click and Recommendations of Glaxo Italia Spa The Zinnat Marketing Decision Software Case Solution shops. These shops with a low requirement of funds to settle would enable the business to reach worldwide markets, without ending its domestic shops.

Pros:

• Low financial investment
• Lowering competitors danger
• Access to the world markets
• Increasing the size of customer base
• Easy to handle
• Large Incomes
• Low Operating Costs
• Easy new market entrance

Cons:

• Hazard to the marketplace position
• Elimination of brand name Uniqueness
• Removal of the terrific shop experience.
• Threat of decrease in elite sales.

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

Another alternative that the company could think about, is to broaden towards the global markets without closing its domestic shops that adds to the huge part of incomes of the business. The pros and cons associated with Alternative 3 are given below;

Pros:

• Lowering competitors risk
• Access to the world markets
• Expanding customer base
• Large Profits
• Exploration of brand-new international markets.
• Boost in earnings from worldwide markets.
• Earnings diversification.
• Step towards being a strong global brand name.

Cons:

• Extension of concerns associated with diversity.
• Differences in cultures could resulted in a failure of the brand name especially in Asian countries.
• Low earnings at initial levels.
• Increase in marketing expenses to gain market share.



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