Recommendations of Printicomms Proposed Acquisition Of Digitech Negotiating Price And Form Of Payment Case Analysis

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Recommendations of Printicomms Proposed Acquisition Of Digitech Negotiating Price And Form Of Payment Case Study Solution

On the basis of above internal and external analysis of the company along with the assessment of numerous alternatives, the business is advised to think about alternative 3. As alternative 3 would allow the business to broaden in worldwide markets without any decrease in its local revenues and any deterioration of its market position. The business could pursue alternative 1 which would allow the business to focus on prospective international markets rather than the local markets but as the company is extremely dependent on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the significant decrease in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Printicomms Proposed Acquisition Of Digitech Negotiating Price And Form Of Payment Case Solution Stores

Expansion towards global markets through opening new stores in other Europe and Asian countries with closing domestic shops is although a great alternative for increasing the international presence of the company. Nevertheless, the closing of domestic shops could highly affect the profits of the company as above 90% of its stores lie domestically and closing those shops would ultimately decrease the profits of the firm. Furthermore, the company has a long term market position in US which can not be created soon in the new markets. The option would assist the company to expand in global markets in addition to the removal of issues raised in its regional markets connected to its diversity. The pros and Cons for Option 1 are listed below;

Pros:

• Expedition of brand-new global markets.
• Boost in earnings from worldwide markets.
• Removal of problems associated with variety.
• Profits diversification.
• Step towards being a strong international brand.

Cons:

• Loss of substantial revenues from the local markets.
• Boost in competitors.
• Distinctions in cultures could caused a failure of the brand particularly in Asian countries.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Printicomms Proposed Acquisition Of Digitech Negotiating Price And Form Of Payment Case Help Stores

Alternative 2 consists of the intro of online market locations through producing an appropriate business's site. With the increased trends towards online shopping, the online stores like Amazon, Alibaba and so on could position a severe risk to the market share of company. Additionally, the competitors are shifting towards click and Recommendations of Printicomms Proposed Acquisition Of Digitech Negotiating Price And Form Of Payment Case Help shops with Gap presenting Piperline. This shift towards online markets might decrease the profits for company. In this scenario the company could consider introducing Click and Recommendations of Printicomms Proposed Acquisition Of Digitech Negotiating Price And Form Of Payment Case Solution stores. These stores with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic stores. The benefits and drawbacks of alternative 2 are provided as follows;

Pros:

• Low investment
• Lowering competition threat
• Access to the world markets
• Expanding consumer base
• Easy to manage
• Big Profits
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Removal of brand Individuality
• Elimination of the excellent store experience.
• Danger of decrease in elite sales.

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

Another choice that the company might consider, is to broaden towards the worldwide markets without closing its domestic stores that contributes to the major part of incomes of the company. The benefits and drawbacks related to Alternative 3 are offered listed below;

Pros:

• Reducing competitors risk
• Access to the world markets
• Increasing the size of consumer base
• Large Earnings
• Expedition of new worldwide markets.
• Boost in income from international markets.
• Revenue diversity.
• Step towards being a strong worldwide brand.

Cons:

• Continuation of issues related to variety.
• Distinctions in cultures might caused a failure of the brand name particularly in Asian nations.
• Low revenues at preliminary levels.
• Boost in marketing expenses to gain market share.



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