Recommendations of Takeover! 1997 (B) The Raider: Continental Finance Corporation Case Help

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Recommendations of Takeover! 1997 (B) The Raider: Continental Finance Corporation Case Study Help

RecommendationsOn the basis of above internal and external analysis of the company in addition to the assessment of different alternatives, the business is advised to consider alternative 3. As alternative 3 would enable the business to expand in international markets with no reduction in its local revenues and any degeneration of its market position. By thinking about Alternative 3, the business might keep its store experience and brand name uniqueness. Nevertheless, it could likewise think about alternative 2 that might permit the business to access the marketplaces without any possible financial investment. The company could pursue alternative 1 which would make it possible for the business to focus on prospective international markets rather than the local markets but as the company is extremely dependent on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the substantial decline in business's revenue. Therefore, the business is recommended to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Takeover! 1997 (B) The Raider: Continental Finance Corporation Case Analysis Stores

International SegmentsExpansion towards international markets through opening new shops in other Europe and Asian countries with closing domestic stores is although a great alternative for increasing the international existence of the business. Nevertheless, the closing of domestic shops might highly impact the profits of the firm as above 90% of its shops lie locally and closing those stores would eventually lower the earnings of the firm. The business has a long term market position in United States which can not be created soon in the brand-new markets. The option would help the business to broaden in global markets along with the removal of problems raised in its local markets related to its variety. The advantages and disadvantages for Alternative 1 are noted below;

Pros:

• Expedition of brand-new international markets.
• Boost in revenue from worldwide markets.
• Elimination of concerns associated with variety.
• Earnings diversity.
• Action towards being a strong international brand name.

Cons:

• Loss of comprehensive earnings from the local markets.
• Boost in competition.
• Distinctions in cultures could resulted in a failure of the brand name especially in Asian nations.
• Low revenues at preliminary levels.
• Boost in marketing expenses to get market share.

Alternative-2: Introduction of Click and Recommendations of Takeover! 1997 (B) The Raider: Continental Finance Corporation Case Analysis Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could position an extreme risk to the market share of business. In this circumstance the business might think about introducing Click and Recommendations of Takeover! 1997 (B) The Raider: Continental Finance Corporation Case Help stores. These stores with a low requirement of funds to settle would enable the company to reach global markets, without ending its domestic shops.

Pros:

• Low financial investment
• Reducing competitors danger
• Access to the world markets
• Expanding customer base
• Easy to handle
• Large Profits
• Low Operating Expense
• Easy new market entrance

Cons:

• Threat to the market position
• Removal of brand name Uniqueness
• Removal of the excellent shop experience.
• Threat 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 global markets without closing its domestic shops that adds to the major part of incomes of the company. The benefits and drawbacks associated with Alternative 3 are given listed below;

Pros:

• Minimizing competitors danger
• Access to the world markets
• Increasing the size of consumer base
• Big Revenues
• Exploration of brand-new international markets.
• Boost in earnings from global markets.
• Earnings diversity.
• Action towards being a strong global brand name.

Cons:

• Extension of concerns related to variety.
• Distinctions in cultures might led to a failure of the brand name especially in Asian nations.
• Low incomes at preliminary levels.
• Increase in marketing expenses to gain market share.



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