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

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

RecommendationsOn the basis of above internal and external analysis of the company along with the evaluation of various alternatives, the business is suggested to consider alternative 3. As alternative 3 would permit the business to broaden in international markets without any decrease in its local earnings and any deterioration of its market position. The company might pursue alternative 1 which would enable the business to focus on potential global markets rather than the regional markets but as the business is extremely dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the significant decline in business's revenue.

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

International SegmentsGrowth towards international markets through opening new stores in other Europe and Asian countries with closing domestic shops is although a good option for increasing the global existence of the business. The closing of domestic stores could extremely impact the revenues of the firm as above 90% of its shops are situated locally and closing those stores would eventually decrease the earnings of the company. The company has a long term market position in US which can not be generated quickly in the brand-new markets. The choice would assist the business to broaden in international markets together with the elimination of concerns raised in its local markets associated with its variety. The pros and Cons for Option 1 are listed below;

Pros:

• Exploration of new global markets.
• Increase in earnings from global markets.
• Removal of issues connected to diversity.
• Earnings diversity.
• Action towards being a strong worldwide brand.

Cons:

• Loss of substantial earnings from the regional markets.
• Increase in competitors.
• Differences in cultures could caused a failure of the brand name particularly in Asian nations.
• Low incomes at preliminary levels.
• Boost in marketing expenditures to acquire 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 creating a correct business's site. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might position a serious hazard to the market share of business. The rivals are moving towards click and Recommendations of Printicomms Proposed Acquisition Of Digitech: Negotiating Price And Form Of Payment Case Analysis stores with Gap introducing Piperline. This shift towards online markets might decrease the profits for business. In this situation the business could consider presenting Click and Recommendations of Printicomms Proposed Acquisition Of Digitech: Negotiating Price And Form Of Payment Case Help stores. These shops 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 financial investment
• Minimizing competition hazard
• Access to the world markets
• Expanding customer base
• Easy to manage
• Big Revenues
• Low Operating Expense
• Easy brand-new market entryway

Cons:

• Hazard to the market position
• Removal of brand name Uniqueness
• Removal of the fantastic store experience.
• Threat of decline in elite sales.

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

Another choice that the business could consider, is to expand towards the global markets without closing its domestic stores that contributes to the major part of revenues of the company. The pros and cons associated with Alternative 3 are given below;

Pros:

• Minimizing competition danger
• Access to the world markets
• Enlarging consumer base
• Large Revenues
• Exploration of new international markets.
• Increase in income from international markets.
• Income diversification.
• Step towards being a strong worldwide brand.

Cons:

• Extension of concerns associated with variety.
• Differences in cultures might resulted in a failure of the brand specifically in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenses to acquire market share.



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