Recommendations of Victoria Chemicals Plc (A) The Merseyside Project Case Help

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Recommendations of Victoria Chemicals Plc (A) The Merseyside Project Case Study Help

On the basis of above internal and external analysis of the company along with the examination of different options, the business is suggested to consider alternative 3. As alternative 3 would enable the business to broaden in international markets without any decrease in its regional incomes and any degeneration of its market position. By thinking about Alternative 3, the business could preserve its shop experience and brand name individuality. Nevertheless, it might likewise think about alternative 2 that could enable the business to access the marketplaces without any possible financial investment. Although, the company might pursue alternative 1 which would enable the business to concentrate on prospective global markets rather than the regional markets but as the business is highly based on the local markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the significant decline in business's profits. For that reason, the company is suggested to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Victoria Chemicals Plc (A) The Merseyside Project Case Help Stores

Expansion towards international markets through opening new shops in other Europe and Asian nations with closing domestic shops is although a great alternative for increasing the worldwide existence of the company. However, the closing of domestic shops could extremely impact the revenues of the company as above 90% of its stores are located locally and closing those shops would ultimately decrease the revenues of the firm. The company has a long term market position in United States which can not be generated soon in the new markets. The alternative would help the business to expand in global markets together with the removal of problems raised in its regional markets associated with its variety. The advantages and disadvantages for Alternative 1 are noted below;

Pros:

• Exploration of brand-new international markets.
• Boost in revenue from international markets.
• Elimination of issues connected to diversity.
• Profits diversity.
• Action towards being a strong global brand name.

Cons:

• Loss of comprehensive profits from the regional markets.
• Increase in competitors.
• Differences in cultures might led to a failure of the brand name especially in Asian nations.
• Low incomes at preliminary levels.
• Boost in marketing expenses to get market share.

Alternative-2: Introduction of Click and Recommendations of Victoria Chemicals Plc (A) The Merseyside Project Case Help Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba etc. could position a severe danger to the market share of business. In this situation the business might think about introducing Click and Recommendations of Victoria Chemicals Plc (A) The Merseyside Project Case Analysis stores. These shops with a low requirement of funds to settle would allow the company to reach global markets, without ending its domestic stores.

Pros:

• Low investment
• Minimizing competition threat
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Big Revenues
• Low Operating Costs
• Easy new market entrance

Cons:

• Danger to the market position
• Elimination of brand Individuality
• Elimination of the terrific store experience.
• Threat of decrease in elite sales.

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

Another alternative that the company could think about, is to broaden towards the global markets without closing its domestic shops that adds to the huge part of incomes of the company. The benefits and drawbacks connected to Alternative 3 are provided below;

Pros:

• Decreasing competition hazard
• Access to the world markets
• Increasing the size of consumer base
• Big Profits
• Exploration of new global markets.
• Increase in earnings from international markets.
• Income diversity.
• Action towards being a strong global brand.

Cons:

• Continuation of concerns connected to diversity.
• Distinctions in cultures might led to a failure of the brand especially in Asian countries.
• Low profits at preliminary levels.
• Increase in marketing expenditures to acquire market share.



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