Recommendations of Moschino: When Luxury Meets Pop Culture Case Solution

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Recommendations of Moschino: When Luxury Meets Pop Culture Case Study Solution

On the basis of above internal and external analysis of the business along with the examination of various options, the company is advised to consider alternative 3. As alternative 3 would enable the business to broaden in worldwide markets without any reduction in its local revenues and any degeneration of its market position. The business might pursue alternative 1 which would allow the business to focus on possible worldwide markets rather than the regional markets however as the company is extremely dependent 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.

Aletrnative-1: Expanding International Brick and Recommendations of Moschino: When Luxury Meets Pop Culture Case Analysis Stores

Expansion towards worldwide markets through opening new stores in other Europe and Asian countries with closing domestic stores is although a great choice for increasing the worldwide existence of the company. The closing of domestic stores might extremely impact the incomes of the firm as above 90% of its stores are situated domestically and closing those shops would eventually reduce the revenues of the firm. The company has a long term market position in United States which can not be generated quickly in the new markets. The alternative would help the company to broaden in international markets together with the removal of problems raised in its regional markets connected to its variety. The pros and Cons for Alternative 1 are listed below;

Pros:

• Expedition of new global markets.
• Boost in earnings from international markets.
• Removal of issues connected to variety.
• Income diversification.
• Step towards being a strong worldwide brand.

Cons:

• Loss of extensive earnings from the regional markets.
• Increase in competition.
• Distinctions in cultures might caused a failure of the brand particularly in Asian countries.
• Low profits at initial levels.
• Boost in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Moschino: When Luxury Meets Pop Culture Case Help Stores

Alternative 2 includes the introduction of online market places through producing a correct business's site. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might pose a serious risk to the marketplace share of company. Additionally, the competitors are shifting towards click and Recommendations of Moschino: When Luxury Meets Pop Culture Case Help shops with Gap presenting Piperline. This shift towards online markets might decrease the profits for company. In this scenario the company could consider introducing Click and Recommendations of Moschino: When Luxury Meets Pop Culture Case Analysis stores. These shops with a low requirement of funds to settle would allow the company to reach worldwide markets, without ending its domestic shops. The benefits and drawbacks of alternative 2 are offered as follows;

Pros:

• Low investment
• Minimizing competitors risk
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Big Earnings
• Low Operating Costs
• Easy new market entryway

Cons:

• Danger to the marketplace position
• Elimination of brand Originality
• Elimination of the fantastic shop experience.
• Risk of decline in elite sales.

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

Another option that the company could think about, is to expand towards the global markets without closing its domestic shops that adds to the major part of earnings of the business. The pros and cons related to Alternative 3 are provided below;

Pros:

• Decreasing competitors threat
• Access to the world markets
• Increasing the size of customer base
• Big Earnings
• Exploration of new worldwide markets.
• Boost in revenue from international markets.
• Earnings diversification.
• Step towards being a strong international brand name.

Cons:

• Extension of issues associated with variety.
• Differences in cultures could resulted in a failure of the brand name particularly in Asian countries.
• Low earnings at initial levels.
• Boost in marketing expenses to acquire market share.



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