Recommendations of Airbus A3xx: Developing The Worlds Largest Commercial Jet (B) Case Solution

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Recommendations of Airbus A3xx: Developing The Worlds Largest Commercial Jet (B) Case Study Help

On the basis of above internal and external analysis of the business along with the examination of various options, the company is suggested to think about alternative 3. As alternative 3 would enable the business to broaden in international markets with no reduction in its regional profits and any degeneration of its market position. By thinking about Alternative 3, the company could keep its store experience and brand name individuality. However, it might also think about alternative 2 that could enable the company to access the marketplaces without any potential financial investment. Although, the business might pursue alternative 1 which would enable the business to focus on possible worldwide markets rather than the local markets but as the business is highly dependent on the regional markets with 90% of its shops in the US, there fore pursuing option 1 would lead to the significant decrease in business's profits. The company is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Airbus A3xx: Developing The Worlds Largest Commercial Jet (B) Case Analysis Stores

Expansion towards worldwide markets through opening brand-new stores in other Europe and Asian nations with closing domestic stores is although an excellent alternative for increasing the worldwide presence of the company. The closing of domestic stores might highly impact the incomes of the firm as above 90% of its shops are situated locally and closing those stores would eventually decrease the profits of the firm. Furthermore, the business has a long term market position in United States which can not be generated quickly in the new markets. The alternative would help the business to expand in international markets along with the removal of problems raised in its regional markets related to its variety. The benefits and drawbacks for Alternative 1 are noted below;

Pros:

• Exploration of new international markets.
• Increase in revenue from global markets.
• Removal of problems related to variety.
• Income diversity.
• Action towards being a strong worldwide brand.

Cons:

• Loss of extensive profits from the regional markets.
• Increase in competitors.
• Differences in cultures might led to a failure of the brand name specifically in Asian countries.
• Low incomes at preliminary levels.
• Increase in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Airbus A3xx: Developing The Worlds Largest Commercial Jet (B) Case Analysis Stores

Alternative 2 includes the introduction of online market places through producing an appropriate company's website. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on could posture an extreme threat to the marketplace share of company. The competitors are shifting towards click and Recommendations of Airbus A3xx: Developing The Worlds Largest Commercial Jet (B) Case Analysis stores with Gap introducing Piperline. This shift towards online markets might decrease the revenues for business. In this scenario the company could think about introducing Click and Recommendations of Airbus A3xx: Developing The Worlds Largest Commercial Jet (B) Case Solution shops. These stores with a low requirement of funds to settle would allow the business to reach worldwide markets, without ending its domestic stores. The pros and cons of option 2 are provided as follows;

Pros:

• Low investment
• Lowering competition threat
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Big Profits
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Risk to the market position
• Removal of brand name Uniqueness
• Removal of the fantastic shop experience.
• Danger of decrease in elite sales.

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

Another choice that the company could think about, is to broaden towards the worldwide markets without closing its domestic shops that contributes to the major part of revenues of the company. The pros and cons related to Alternative 3 are provided listed below;

Pros:

• Decreasing competition danger
• Access to the world markets
• Expanding customer base
• Large Profits
• Expedition of brand-new worldwide markets.
• Increase in earnings from international markets.
• Profits diversification.
• Step towards being a strong worldwide brand.

Cons:

• Extension of issues associated with variety.
• Differences in cultures could led to a failure of the brand name especially in Asian countries.
• Low profits at preliminary levels.
• Increase in marketing expenditures to gain market share.



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