Recommendations of The Financial Detective 1996 Case Analysis

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Recommendations of The Financial Detective 1996 Case Study Solution

On the basis of above internal and external analysis of the business along with the assessment of various alternatives, the business is suggested to consider alternative 3. As alternative 3 would enable the business to broaden in global markets without any reduction in its local profits and any deterioration of its market position. The business could pursue alternative 1 which would allow the business to focus on possible worldwide markets rather than the local markets however as the company is extremely reliant on the regional markets with 90% of its stores in the US, there fore pursuing option 1 would result in the significant decline in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of The Financial Detective 1996 Case Solution Stores

The company has a long term market position in US which can not be produced quickly in the new markets. The choice would help the business to expand in global markets along with the elimination of problems raised in its local markets related to its diversity.

Pros:

• Expedition of new global markets.
• Increase in revenue from global markets.
• Removal of concerns related to variety.
• Earnings diversity.
• Action towards being a strong worldwide brand.

Cons:

• Loss of extensive profits from the regional markets.
• Boost in competitors.
• Distinctions in cultures might resulted in a failure of the brand specifically in Asian nations.
• Low earnings at preliminary levels.
• Boost in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of The Financial Detective 1996 Case Analysis Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could posture a serious danger to the market share of company. In this scenario the business could consider introducing Click and Recommendations of The Financial Detective 1996 Case Solution stores. These shops with a low requirement of funds to settle would allow the company to reach worldwide markets, without ending its domestic stores.

Pros:

• Low investment
• Decreasing competitors hazard
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Big Revenues
• Low Operating Expense
• Easy new market entrance

Cons:

• Risk to the marketplace position
• Removal of brand name Uniqueness
• Removal of the great shop experience.
• Risk of decline in elite sales.

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

Another choice that the business could consider, is to broaden towards the global markets without closing its domestic shops that adds to the major part of revenues of the company. The advantages and disadvantages related to Alternative 3 are given listed below;

Pros:

• Reducing competition hazard
• Access to the world markets
• Increasing the size of customer base
• Big Incomes
• Expedition of brand-new international markets.
• Increase in income from worldwide markets.
• Profits diversification.
• Step towards being a strong international brand.

Cons:

• Continuation of issues associated with variety.
• Differences in cultures might caused a failure of the brand specifically in Asian countries.
• Low revenues at preliminary levels.
• Boost in marketing expenditures to get market share.



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