Recommendations of The Financial Crises Of The 1890s And The High Tide Of Populism (A) Case Analysis
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Recommendations of The Financial Crises Of The 1890s And The High Tide Of Populism (A) Case Study Analysis
On the basis of above internal and external analysis of the company together with the evaluation of different options, the company is recommended to think about alternative 3. As alternative 3 would allow the business to broaden in international markets with no decrease in its regional earnings and any degeneration of its market position. By thinking about Alternative 3, the business might maintain its store experience and brand name uniqueness. However, it might also consider alternative 2 that could enable the company to access the marketplaces without any prospective investment. The company could pursue alternative 1 which would make it possible for the company to focus on possible worldwide markets rather than the regional markets however as the company is highly reliant on the local markets with 90% of its shops in the US, there fore pursuing option 1 would result in the significant decline in company's income. For that reason, the business is suggested to consider alternative 3.
Aletrnative-1: Expanding International Brick and Recommendations of The Financial Crises Of The 1890s And The High Tide Of Populism (A) Case Analysis Stores
Growth towards global markets through opening brand-new stores in other Europe and Asian countries with closing domestic stores is although a great choice for increasing the global existence of the business. The closing of domestic stores could highly affect the revenues of the company as above 90% of its stores are located domestically and closing those stores would ultimately reduce the revenues of the firm. The business has a long term market position in United States which can not be generated soon in the brand-new markets. The alternative would help the company to expand in international markets along with the elimination of issues raised in its local markets related to its variety. The pros and Cons for Option 1 are noted below;
Pros:
• Exploration of new international markets.
• Increase in earnings from global markets.
• Removal of concerns connected to diversity.
• Earnings diversity.
• Action towards being a strong international brand name.
Cons:
• Loss of substantial incomes from the local markets.
• Increase in competitors.
• Distinctions in cultures could led to a failure of the brand particularly in Asian nations.
• Low earnings at preliminary levels.
• Increase in marketing expenses to gain market share.
Alternative-2: Introduction of Click and Recommendations of The Financial Crises Of The 1890s And The High Tide Of Populism (A) Case Analysis Stores
Alternative 2 includes the introduction of online market locations through creating a correct company's site. With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could pose an extreme danger to the market share of business. Moreover, the rivals are shifting towards click and Recommendations of The Financial Crises Of The 1890s And The High Tide Of Populism (A) Case Analysis shops with Gap presenting Piperline. This shift towards online markets might minimize the profits for business. In this situation the business might consider introducing Click and Recommendations of The Financial Crises Of The 1890s And The High Tide Of Populism (A) Case Help stores. These shops with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic stores. The pros and cons of alternative 2 are offered as follows;
Pros:
• Low investment
• Minimizing competitors threat
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Earnings
• Low Operating Costs
• Easy new market entrance
Cons:
• Danger to the marketplace position
• Removal of brand Originality
• Elimination of the terrific store experience.
• Threat of decrease in elite sales.
Alternative-3: Expansion towards International Markets Without closing Domestic Stores
Another option that the company might consider, is to broaden towards the worldwide markets without closing its domestic stores that contributes to the major part of profits of the company. The benefits and drawbacks associated with Alternative 3 are offered listed below;
Pros:
• Minimizing competition risk
• Access to the world markets
• Increasing the size of customer base
• Large Profits
• Expedition of new international markets.
• Boost in revenue from international markets.
• Revenue diversification.
• Action towards being a strong global brand name.
Cons:
• Extension of problems associated with variety.
• Differences in cultures could led to a failure of the brand name especially in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenditures to acquire market share.
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