Recommendations of An Economic Framework For Assessing Development Impact Case Analysis
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On the basis of above internal and external analysis of the company along with the examination of various options, the business is suggested to think about alternative 3. As alternative 3 would enable the company to broaden in global markets without any decrease in its local revenues and any degeneration of its market position. The business might pursue alternative 1 which would make it possible for the company to focus on potential worldwide markets rather than the local markets however as the business is highly reliant 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 revenue.
Aletrnative-1: Expanding International Brick and Recommendations of An Economic Framework For Assessing Development Impact Case Solution Stores
Growth towards global markets through opening new stores in other Europe and Asian countries with closing domestic shops is although a great option for increasing the global presence of the company. Nevertheless, the closing of domestic shops could highly affect the earnings of the company as above 90% of its shops are located domestically and closing those shops would ultimately reduce the revenues of the firm. The company has a long term market position in US which can not be created quickly in the brand-new markets. The choice would help the company to expand in worldwide markets together with the removal of problems raised in its local markets related to its variety. The advantages and disadvantages for Alternative 1 are listed below;
Pros:
• Expedition of brand-new global markets.
• Increase in income from global markets.
• Elimination of problems associated with diversity.
• Earnings diversification.
• Action towards being a strong global brand name.
Cons:
• Loss of comprehensive incomes from the local markets.
• Increase in competition.
• Differences in cultures might led to a failure of the brand name specifically in Asian nations.
• Low earnings at initial levels.
• Increase in marketing expenditures to acquire market share.
Alternative-2: Introduction of Click and Recommendations of An Economic Framework For Assessing Development Impact Case Solution Stores
With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on might present a severe danger to the market share of company. In this scenario the business might consider presenting Click and Recommendations of An Economic Framework For Assessing Development Impact Case Solution shops. These stores with a low requirement of funds to settle would enable the business to reach global markets, without ending its domestic stores.
Pros:
• Low investment
• Reducing competition danger
• Access to the world markets
• Increasing the size of customer base
• Easy to manage
• Big Earnings
• Low Operating Expense
• Easy brand-new market entryway
Cons:
• Risk to the market position
• Removal of brand name Originality
• 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 business might think about, is to expand towards the international markets without closing its domestic stores that contributes to the major part of incomes of the business. The advantages and disadvantages associated with Alternative 3 are provided listed below;
Pros:
• Minimizing competitors hazard
• Access to the world markets
• Enlarging customer base
• Big Revenues
• Expedition of brand-new international markets.
• Boost in profits from international markets.
• Earnings diversification.
• Action towards being a strong international brand.
Cons:
• Continuation of problems connected to diversity.
• Differences in cultures might led to a failure of the brand name especially in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenditures to acquire market share.
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