Recommendations of Contractual Innovation In The Uk Energy Markets: Enron Europe The Eastern Group And The Sutton Bridge Project Case Analysis

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Recommendations of Contractual Innovation In The Uk Energy Markets: Enron Europe The Eastern Group And The Sutton Bridge Project Case Study Solution

On the basis of above internal and external analysis of the business along with the examination of numerous options, the business is recommended to think about alternative 3. As alternative 3 would permit the business to broaden in worldwide markets without any reduction in its local profits and any wear and tear of its market position. The company could pursue alternative 1 which would allow the company to focus on prospective global markets rather than the local markets however as the business is highly dependent on the regional markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the substantial decline in company's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Contractual Innovation In The Uk Energy Markets: Enron Europe The Eastern Group And The Sutton Bridge Project Case Help Stores

The business has a long term market position in US which can not be created quickly in the new markets. The choice would assist the business to expand in international markets along with the removal of concerns raised in its local markets related to its variety.

Pros:

• Expedition of brand-new worldwide markets.
• Boost in earnings from global markets.
• Elimination of concerns associated with diversity.
• Profits diversity.
• Step towards being a strong worldwide brand.

Cons:

• Loss of extensive profits from the local markets.
• Increase in competitors.
• Differences in cultures could led to a failure of the brand name especially in Asian nations.
• Low revenues at initial levels.
• Increase in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Contractual Innovation In The Uk Energy Markets: Enron Europe The Eastern Group And The Sutton Bridge Project Case Help Stores

Alternative 2 consists of the introduction of online market locations through creating a proper company's site. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba etc. could position a severe danger to the market share of business. The competitors are moving towards click and Recommendations of Contractual Innovation In The Uk Energy Markets: Enron Europe The Eastern Group And The Sutton Bridge Project Case Solution shops with Gap presenting Piperline. This shift towards online markets might reduce the profits for company. In this situation the company might think about presenting Click and Recommendations of Contractual Innovation In The Uk Energy Markets: Enron Europe The Eastern Group And The Sutton Bridge Project Case Analysis stores. These shops with a low requirement of funds to settle would enable the company to reach international markets, without ending its domestic shops. The benefits and drawbacks of option 2 are provided as follows;

Pros:

• Low financial investment
• Minimizing competitors hazard
• Access to the world markets
• Expanding customer base
• Easy to manage
• Big Earnings
• Low Operating Costs
• Easy brand-new market entryway

Cons:

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

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

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

Pros:

• Decreasing competitors threat
• Access to the world markets
• Enlarging consumer base
• Large Earnings
• Exploration of new worldwide markets.
• Increase in income from global markets.
• Income diversity.
• Step towards being a strong worldwide brand.

Cons:

• Extension of problems related to variety.
• Differences in cultures could caused a failure of the brand name particularly in Asian countries.
• Low profits at initial levels.
• Increase in marketing expenditures to get market share.



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