Recommendations of The Panic Of 1873 And The Long Depression (A) Case Analysis

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Recommendations of The Panic Of 1873 And The Long Depression (A) Case Study Solution

On the basis of above internal and external analysis of the company in addition to the assessment of various alternatives, the business is suggested to think about alternative 3. As alternative 3 would permit the company to expand in global markets with no reduction in its regional incomes and any wear and tear of its market position. By thinking about Alternative 3, the company could maintain its shop experience and brand individuality. It could likewise consider alternative 2 that could enable the company to access the markets without any potential investment. The company might pursue alternative 1 which would allow the business to focus on prospective global markets rather than the regional 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 considerable decrease in business's revenue. The company is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of The Panic Of 1873 And The Long Depression (A) Case Analysis Stores

Expansion towards international markets through opening brand-new stores in other Europe and Asian countries with closing domestic shops is although a good option for increasing the worldwide existence of the company. The closing of domestic stores could highly impact the earnings of the firm as above 90% of its stores are located domestically and closing those stores would ultimately lower the profits of the firm. The business has a long term market position in US which can not be produced quickly in the brand-new markets. The choice would assist the business to expand in worldwide markets together with the removal of problems raised in its regional markets connected to its diversity. The benefits and drawbacks for Alternative 1 are listed below;

Pros:

• Expedition of new international markets.
• Boost in income from worldwide markets.
• Removal of problems associated with variety.
• Income diversity.
• Step towards being a strong worldwide brand.

Cons:

• Loss of substantial incomes from the local markets.
• Increase in competition.
• Distinctions in cultures could resulted in a failure of the brand particularly in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of The Panic Of 1873 And The Long Depression (A) Case Help Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. might posture a serious hazard to the market share of business. In this situation the company might think about introducing Click and Recommendations of The Panic Of 1873 And The Long Depression (A) Case Solution stores. These shops with a low requirement of funds to settle would enable the company to reach global markets, without ending its domestic stores.

Pros:

• Low financial investment
• Decreasing competition threat
• Access to the world markets
• Expanding customer base
• Easy to manage
• Large Earnings
• Low Operating Expense
• Easy new market entrance

Cons:

• Hazard to the market position
• Elimination of brand Originality
• Removal of the fantastic shop experience.
• Threat of decrease in elite sales.

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

Another alternative that the company might think about, is to expand towards the global markets without closing its domestic stores that adds to the huge part of profits of the business. The benefits and drawbacks connected to Alternative 3 are provided below;

Pros:

• Minimizing competitors risk
• Access to the world markets
• Increasing the size of customer base
• Big Profits
• Exploration of new worldwide markets.
• Increase in income from global markets.
• Profits diversification.
• Action towards being a strong international brand name.

Cons:

• Extension of issues related to diversity.
• Differences in cultures could resulted in a failure of the brand especially in Asian nations.
• Low profits at preliminary levels.
• Increase in marketing expenditures to get market share.



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