Recommendations of The Merger Of Hewlett-Packard And Compaq (B) Deal Design Case Solution

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Recommendations of The Merger Of Hewlett-Packard And Compaq (B) Deal Design Case Study Solution

On the basis of above internal and external analysis of the business together with the evaluation of different alternatives, the company is advised to think about alternative 3. As alternative 3 would permit the company to broaden in global markets without any decrease in its local revenues and any wear and tear of its market position. By considering Alternative 3, the company could keep its store experience and brand uniqueness. However, it might likewise consider alternative 2 that might permit the company to access the markets with no potential investment. The company might pursue alternative 1 which would make it possible for the company to focus on potential global markets rather than the regional markets however as the company is extremely reliant on the regional markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the substantial decline in company's earnings. Therefore, the company is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of The Merger Of Hewlett-Packard And Compaq (B) Deal Design Case Help Stores

The company has a long term market position in US which can not be created soon in the brand-new markets. The choice would help the business to expand in international markets along with the removal of problems raised in its regional markets related to its variety.

Pros:

• Expedition of brand-new global markets.
• Increase in income from international markets.
• Elimination of issues connected to variety.
• Revenue diversification.
• Step towards being a strong global brand name.

Cons:

• Loss of extensive profits from the local markets.
• Increase in competition.
• Differences in cultures might led to a failure of the brand name specifically in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of The Merger Of Hewlett-Packard And Compaq (B) Deal Design Case Solution Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on could position a severe danger to the market share of company. In this situation the business could consider presenting Click and Recommendations of The Merger Of Hewlett-Packard And Compaq (B) Deal Design Case Solution shops. These stores with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic shops.

Pros:

• Low investment
• Reducing competition hazard
• Access to the world markets
• Increasing the size of customer base
• Easy to manage
• Big Earnings
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Hazard to the market position
• Elimination of brand Uniqueness
• Removal of the terrific store experience.
• Risk of decline in elite sales.

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

Another option that the business might think about, is to expand towards the worldwide markets without closing its domestic stores that adds to the major part of profits of the company. The benefits and drawbacks associated with Alternative 3 are given listed below;

Pros:

• Decreasing competition risk
• Access to the world markets
• Enlarging customer base
• Big Earnings
• Exploration of brand-new international markets.
• Boost in income from international markets.
• Earnings diversity.
• Action towards being a strong global brand.

Cons:

• Continuation of issues associated with variety.
• Differences in cultures could resulted in a failure of the brand name especially in Asian nations.
• Low incomes at preliminary levels.
• Increase in marketing expenditures to acquire market share.



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