Recommendations of Carrefour Korea: Not Ready For Kimchi Case Help
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Recommendations of Carrefour Korea: Not Ready For Kimchi Case Study Solution
On the basis of above internal and external analysis of the business together with the evaluation of different options, the company is advised to think about alternative 3. As alternative 3 would allow the business to broaden in international markets without any decrease in its local profits and any degeneration of its market position. By thinking about Alternative 3, the business might preserve its store experience and brand uniqueness. Nevertheless, it could also think about alternative 2 that could allow the company to access the markets without any possible investment. Although, the company could pursue alternative 1 which would make it possible for the company to focus on possible international markets instead of the local 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 considerable decline in business's earnings. The business is advised to think about alternative 3.
Aletrnative-1: Expanding International Brick and Recommendations of Carrefour Korea: Not Ready For Kimchi Case Analysis Stores
The company has a long term market position in United States which can not be produced soon in the brand-new markets. The choice would help the business to broaden in worldwide markets along with the removal of problems raised in its regional markets related to its variety.
Pros:
• Exploration of new worldwide markets.
• Boost in earnings from international markets.
• Elimination of problems related to diversity.
• Profits diversity.
• Action towards being a strong international brand name.
Cons:
• Loss of extensive profits from the local markets.
• Increase in competitors.
• Differences in cultures could resulted in a failure of the brand specifically in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenses to get market share.
Alternative-2: Introduction of Click and Recommendations of Carrefour Korea: Not Ready For Kimchi Case Solution Stores
Alternative 2 includes the intro of online market locations through generating a proper business's site. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on could position a severe threat to the market share of business. The competitors are shifting towards click and Recommendations of Carrefour Korea: Not Ready For Kimchi Case Analysis stores with Gap presenting Piperline. This shift towards online markets could decrease the incomes for business. In this situation the company could think about presenting Click and Recommendations of Carrefour Korea: Not Ready For Kimchi Case Solution shops. These shops with a low requirement of funds to settle would allow the business to reach worldwide markets, without ending its domestic shops. The advantages and disadvantages of option 2 are provided as follows;
Pros:
• Low investment
• Decreasing competition danger
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Large Revenues
• Low Operating Costs
• Easy brand-new market entryway
Cons:
• Risk to the market position
• Elimination of brand name Individuality
• Elimination of the terrific store experience.
• Danger of decline in elite sales.
Alternative-3: Expansion towards International Markets Without closing Domestic Stores
Another option that the company might consider, is to broaden towards the international markets without closing its domestic stores that contributes to the major part of incomes of the business. The pros and cons associated with Alternative 3 are provided below;
Pros:
• Reducing competitors risk
• Access to the world markets
• Increasing the size of customer base
• Large Earnings
• Exploration of new global markets.
• Boost in revenue from global markets.
• Earnings diversity.
• Action towards being a strong international brand name.
Cons:
• Continuation of issues associated with diversity.
• Differences in cultures might resulted in a failure of the brand name especially in Asian countries.
• Low profits at preliminary levels.
• Boost in marketing expenses to get market share.
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