Recommendations of Ssense: Pioneering E-Commerce In The Luxury Industry Case Analysis

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Recommendations of Ssense: Pioneering E-Commerce In The Luxury Industry Case Study Help

On the basis of above internal and external analysis of the company together with the evaluation of different alternatives, the company is suggested to think about alternative 3. As alternative 3 would enable the business to expand in worldwide markets without any decrease in its local profits and any deterioration of its market position. By considering Alternative 3, the business could preserve its shop experience and brand uniqueness. It could also consider alternative 2 that might enable the company to access the markets without any prospective financial investment. Although, the company could pursue alternative 1 which would enable the business to concentrate on potential worldwide markets rather than the local markets however as the business is highly depending on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would lead to the significant decline in business's income. The company is advised to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Ssense: Pioneering E-Commerce In The Luxury Industry Case Help Stores

Expansion towards international markets through opening new shops in other Europe and Asian countries with closing domestic shops is although a great choice for increasing the worldwide presence of the business. The closing of domestic shops could highly impact the revenues of the firm as above 90% of its shops are situated domestically and closing those stores would eventually minimize the profits of the company. The company has a long term market position in United States which can not be produced soon in the brand-new markets. The alternative would help the company to broaden in international markets along with the removal of problems raised in its local markets associated with its diversity. The benefits and drawbacks for Option 1 are listed below;

Pros:

• Exploration of new global markets.
• Boost in profits from international markets.
• Elimination of problems associated with diversity.
• Income diversity.
• Action towards being a strong worldwide brand.

Cons:

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

Alternative-2: Introduction of Click and Recommendations of Ssense: Pioneering E-Commerce In The Luxury Industry Case Solution Stores

Alternative 2 consists of the intro of online market places through generating an appropriate company's website. With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on might position a severe threat to the marketplace share of company. Furthermore, the competitors are shifting towards click and Recommendations of Ssense: Pioneering E-Commerce In The Luxury Industry Case Help stores with Gap introducing Piperline. This shift towards online markets could lower the incomes for business. In this circumstance the business could think about presenting Click and Recommendations of Ssense: Pioneering E-Commerce In The Luxury Industry Case Solution shops. These stores with a low requirement of funds to settle would make it possible for the company to reach worldwide markets, without ending its domestic stores. The advantages and disadvantages of option 2 are provided as follows;

Pros:

• Low financial investment
• Minimizing competition hazard
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Big Profits
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the marketplace position
• Removal of brand Individuality
• Elimination of the great shop experience.
• Threat of decrease in elite sales.

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

Another alternative that the business could consider, is to expand towards the worldwide markets without closing its domestic shops that adds to the huge part of revenues of the company. The benefits and drawbacks related to Alternative 3 are offered below;

Pros:

• Reducing competitors threat
• Access to the world markets
• Enlarging consumer base
• Big Earnings
• Expedition of new global markets.
• Boost in income from global markets.
• Profits diversification.
• Action towards being a strong worldwide brand name.

Cons:

• Extension of concerns related to variety.
• Distinctions in cultures could led to a failure of the brand name specifically in Asian nations.
• Low incomes at initial levels.
• Increase in marketing expenditures to get market share.



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