Recommendations of Teletech Corporation 2005 Case Analysis

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Recommendations of Teletech Corporation 2005 Case Study Analysis

On the basis of above internal and external analysis of the business along with the examination of various options, the business is suggested to think about alternative 3. As alternative 3 would allow the business to expand in worldwide markets with no reduction in its regional incomes and any degeneration of its market position. By thinking about Alternative 3, the company could keep its shop experience and brand name uniqueness. It might likewise consider alternative 2 that could allow the business to access the markets without any prospective investment. Although, the business might pursue alternative 1 which would allow the business to focus on prospective worldwide markets rather than the local markets but as the business is highly depending on the regional markets with 90% of its shops in the US, there fore pursuing option 1 would lead to the significant decline in company's revenue. Therefore, the company is recommended to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Teletech Corporation 2005 Case Analysis Stores

Growth towards worldwide markets through opening brand-new shops in other Europe and Asian countries with closing domestic stores is although a good choice for increasing the global existence of the business. However, the closing of domestic stores could highly impact the incomes of the firm as above 90% of its stores are located domestically and closing those stores would eventually decrease the profits of the company. The company has a long term market position in US which can not be generated soon in the brand-new markets. The choice would assist the business to broaden in global markets in addition to the elimination of issues raised in its local markets related to its diversity. The benefits and drawbacks for Alternative 1 are listed below;

Pros:

• Exploration of new international markets.
• Increase in profits from global markets.
• Elimination of problems associated with diversity.
• Income diversification.
• Step towards being a strong global brand name.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Increase in competition.
• Distinctions in cultures might resulted in a failure of the brand name particularly in Asian countries.
• Low revenues at initial levels.
• Boost in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of Teletech Corporation 2005 Case Analysis Stores

With the increased trends towards online shopping, the online stores like Amazon, Alibaba and so on might pose a serious danger to the market share of company. In this circumstance the company could consider presenting Click and Recommendations of Teletech Corporation 2005 Case Solution shops. These stores with a low requirement of funds to settle would enable the company to reach international markets, without ending its domestic stores.

Pros:

• Low financial investment
• Reducing competitors danger
• Access to the world markets
• Expanding customer base
• Easy to manage
• Big Revenues
• Low Operating Expense
• Easy new market entrance

Cons:

• Hazard to the market position
• Removal of brand name Originality
• Removal 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 business could consider, is to expand towards the global markets without closing its domestic shops that contributes to the huge part of incomes of the company. The pros and cons associated with Alternative 3 are provided listed below;

Pros:

• Reducing competition danger
• Access to the world markets
• Enlarging consumer base
• Large Incomes
• Expedition of new global markets.
• Boost in earnings from global markets.
• Income diversification.
• Step towards being a strong international brand.

Cons:

• Extension of concerns related to diversity.
• Differences in cultures might resulted in a failure of the brand specifically in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenses to gain market share.



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