Recommendations of Hybritech Incorporated (B) Case Help

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Recommendations of Hybritech Incorporated (B) Case Study Solution

On the basis of above internal and external analysis of the business along with the evaluation of various alternatives, the business is advised to consider alternative 3. As alternative 3 would allow the business to expand in global markets without any reduction in its regional earnings and any deterioration of its market position. The company might pursue alternative 1 which would allow the company to focus on possible global markets rather than the local markets however as the business is highly dependent on the local markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the considerable decline in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Hybritech Incorporated (B) Case Solution Stores

Growth towards global markets through opening new shops in other Europe and Asian countries with closing domestic stores is although a good choice for increasing the global existence of the company. Nevertheless, the closing of domestic shops could extremely impact the revenues of the firm as above 90% of its stores lie locally and closing those stores would eventually decrease the revenues of the firm. Moreover, the company has a long term market position in US which can not be produced quickly in the brand-new markets. The option would assist the business to broaden in global markets together with the removal of problems raised in its regional markets related to its diversity. The advantages and disadvantages for Alternative 1 are listed below;

Pros:

• Exploration of brand-new international markets.
• Increase in profits from worldwide markets.
• Removal of concerns connected to variety.
• Revenue diversity.
• Action towards being a strong global brand name.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Increase in competitors.
• Distinctions in cultures could caused a failure of the brand especially in Asian countries.
• Low incomes at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Hybritech Incorporated (B) Case Analysis Stores

Alternative 2 consists of the introduction of online market places through generating a correct business's website. With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on could posture a serious threat to the market share of company. The competitors are shifting towards click and Recommendations of Hybritech Incorporated (B) Case Analysis stores with Gap introducing Piperline. This shift towards online markets might decrease the incomes for company. In this situation the company might think about introducing Click and Recommendations of Hybritech Incorporated (B) Case Solution stores. These stores with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic stores. The benefits and drawbacks of alternative 2 are given as follows;

Pros:

• Low investment
• Minimizing competitors threat
• Access to the world markets
• Increasing the size of customer base
• Easy to handle
• Big Profits
• Low Operating Expense
• Easy new market entrance

Cons:

• Hazard to the marketplace position
• Removal of brand name Originality
• Removal of the excellent store experience.
• Risk of decline in elite sales.

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

Another choice that the company might think about, is to expand towards the worldwide markets without closing its domestic stores that adds to the major part of revenues of the company. The advantages and disadvantages connected to Alternative 3 are offered listed below;

Pros:

• Lowering competitors threat
• Access to the world markets
• Enlarging customer base
• Large Profits
• Exploration of brand-new worldwide markets.
• Increase in revenue from international markets.
• Profits diversity.
• Action towards being a strong international brand.

Cons:

• Extension of problems related to diversity.
• Distinctions in cultures might resulted in a failure of the brand name especially in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenses to acquire market share.



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