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

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Recommendations of The Panic Of 1873 And The Long Depression (B) Case Study Help

On the basis of above internal and external analysis of the company along with the evaluation of various options, the business is advised to think about alternative 3. As alternative 3 would enable the company to broaden in worldwide markets without any decrease in its regional incomes and any degeneration of its market position. The business could pursue alternative 1 which would make it possible for the company to focus on prospective global markets rather than the regional markets however as the business is highly reliant on the local markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the substantial decrease in company's income.

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

Growth towards global markets through opening new stores in other Europe and Asian countries with closing domestic shops is although an excellent choice for increasing the worldwide existence of the business. Nevertheless, the closing of domestic shops might highly impact the profits of the company as above 90% of its shops lie domestically and closing those stores would ultimately minimize the earnings of the firm. Furthermore, the business has a long term market position in United States which can not be generated quickly in the brand-new markets. The choice would help the company to broaden in worldwide markets in addition to the elimination of issues raised in its local markets related to its variety. The advantages and disadvantages for Alternative 1 are noted below;

Pros:

• Expedition of new international markets.
• Boost in revenue from global markets.
• Removal of problems associated with diversity.
• Income diversification.
• Action towards being a strong global brand.

Cons:

• Loss of substantial incomes from the local markets.
• Boost in competitors.
• Differences in cultures could led to a failure of the brand name particularly in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenditures to get market share.

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

Alternative 2 includes the introduction of online market places through creating a correct company's website. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might position a serious threat to the marketplace share of company. The rivals are shifting towards click and Recommendations of The Panic Of 1873 And The Long Depression (B) Case Solution shops with Gap presenting Piperline. This shift towards online markets might minimize the revenues for business. In this situation the company could consider presenting Click and Recommendations of The Panic Of 1873 And The Long Depression (B) Case Solution shops. These stores with a low requirement of funds to settle would make it possible for the business to reach international markets, without ending its domestic stores. The benefits and drawbacks of alternative 2 are offered as follows;

Pros:

• Low investment
• Decreasing competitors risk
• Access to the world markets
• Increasing the size of consumer base
• Easy to manage
• Large Profits
• Low Operating Expense
• Easy brand-new market entryway

Cons:

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

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

Another option that the company could consider, is to broaden towards the global markets without closing its domestic shops that contributes to the huge part of profits of the company. The advantages and disadvantages connected to Alternative 3 are offered below;

Pros:

• Decreasing competition threat
• Access to the world markets
• Expanding consumer base
• Big Earnings
• Expedition of brand-new international markets.
• Increase in earnings from worldwide markets.
• Income diversity.
• Action towards being a strong international brand name.

Cons:

• Continuation of concerns associated with variety.
• Distinctions in cultures could led to a failure of the brand especially in Asian countries.
• Low profits at preliminary levels.
• Increase in marketing expenditures to get market share.



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