Recommendations of Takeover! 1997 (E) Omnigroup Corporation Omnibank Na Case Analysis

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Recommendations of Takeover! 1997 (E) Omnigroup Corporation Omnibank Na Case Study Analysis

RecommendationsOn the basis of above internal and external analysis of the company along with the evaluation of various options, the business is advised to think about alternative 3. As alternative 3 would enable the company to broaden in worldwide markets without any reduction in its local revenues and any degeneration of its market position. The company might pursue alternative 1 which would allow the business to focus on prospective global markets rather than the regional markets but as the business is extremely reliant on the local markets with 90% of its shops in the US, there fore pursuing alternative 1 would result in the substantial decrease in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Takeover! 1997 (E) Omnigroup Corporation Omnibank Na 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 worldwide presence of the company. Nevertheless, the closing of domestic shops could extremely impact the profits of the firm as above 90% of its shops lie locally and closing those stores would eventually decrease the profits of the firm. The business has a long term market position in United States which can not be produced soon in the brand-new markets. The alternative would assist the business to expand in international markets along with the removal of problems raised in its regional markets related to its diversity. The pros and Cons for Alternative 1 are listed below;

Pros:

• Exploration of new worldwide markets.
• Boost in earnings from global markets.
• Elimination of problems related to diversity.
• Income diversification.
• Step towards being a strong global brand.

Cons:

• Loss of substantial revenues from the regional markets.
• Boost in competitors.
• Distinctions in cultures might led to a failure of the brand name specifically in Asian nations.
• Low revenues at preliminary levels.
• Increase in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Takeover! 1997 (E) Omnigroup Corporation Omnibank Na Case Solution Stores

Alternative 2 includes the intro of online market locations through producing an appropriate company's website. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on could present a severe danger to the marketplace share of business. Moreover, the rivals are moving towards click and Recommendations of Takeover! 1997 (E) Omnigroup Corporation Omnibank Na Case Solution stores with Space presenting Piperline. This shift towards online markets might minimize the profits for business. In this situation the business might think about presenting Click and Recommendations of Takeover! 1997 (E) Omnigroup Corporation Omnibank Na Case Help stores. These shops with a low requirement of funds to settle would allow the business to reach global markets, without ending its domestic stores. The advantages and disadvantages of alternative 2 are offered as follows;

Pros:

• Low investment
• Reducing competition danger
• Access to the world markets
• Increasing the size of customer base
• Easy to handle
• Large Profits
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Removal of brand name Originality
• Elimination of the fantastic store experience.
• Threat of decrease in elite sales.

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

Another option that the company could consider, is to expand towards the worldwide markets without closing its domestic stores that adds to the major part of incomes of the business. The pros and cons connected to Alternative 3 are provided below;

Pros:

• Reducing competition threat
• Access to the world markets
• Expanding consumer base
• Large Profits
• Expedition of new global markets.
• Boost in profits from worldwide markets.
• Revenue diversity.
• Step towards being a strong international brand name.

Cons:

• Continuation of problems connected to variety.
• Distinctions in cultures could caused a failure of the brand specifically in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenses to gain market share.



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