Recommendations of Note On The Caspian Oil Pipelines Case Solution

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Recommendations of Note On The Caspian Oil Pipelines Case Study Help

RecommendationsOn the basis of above internal and external analysis of the business together with the evaluation of different alternatives, the business is suggested to consider alternative 3. As alternative 3 would allow the business to broaden in worldwide markets with no decrease in its local revenues and any degeneration of its market position. By thinking about Alternative 3, the company could preserve its store experience and brand name uniqueness. It might also consider alternative 2 that might allow the company to access the markets without any possible investment. Although, the company could pursue alternative 1 which would enable the business to focus on possible international markets instead of the local markets however as the business is extremely based on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the significant decline in business's revenue. The business is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Note On The Caspian Oil Pipelines Case Analysis Stores

International SegmentsGrowth towards global markets through opening brand-new shops in other Europe and Asian nations with closing domestic shops is although an excellent option for increasing the worldwide presence of the business. However, the closing of domestic stores could highly impact the revenues of the firm as above 90% of its stores are located locally and closing those shops would ultimately lower the profits 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 option would assist the company to broaden in global markets together with the elimination of issues raised in its local markets connected to its diversity. The advantages and disadvantages for Alternative 1 are listed below;

Pros:

• Expedition of new global markets.
• Increase in earnings from international markets.
• Removal of problems related to variety.
• Income diversity.
• Action towards being a strong global brand name.

Cons:

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

Alternative-2: Introduction of Click and Recommendations of Note On The Caspian Oil Pipelines Case Solution Stores

Alternative 2 consists of the introduction of online market locations through producing a proper company's website. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could pose an extreme danger to the market share of business. Furthermore, the rivals are moving towards click and Recommendations of Note On The Caspian Oil Pipelines Case Help stores with Gap introducing Piperline. This shift towards online markets might decrease the profits for business. In this circumstance the company might consider introducing Click and Recommendations of Note On The Caspian Oil Pipelines Case Analysis shops. These shops with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic stores. The advantages and disadvantages of option 2 are offered as follows;

Pros:

• Low financial investment
• Minimizing competitors hazard
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Big Incomes
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Hazard to the marketplace position
• Elimination of brand name Uniqueness
• 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 company might consider, is to expand towards the international markets without closing its domestic stores that contributes to the huge part of profits of the company. The advantages and disadvantages connected to Alternative 3 are provided below;

Pros:

• Reducing competitors hazard
• Access to the world markets
• Expanding customer base
• Big Profits
• Expedition of new global markets.
• Increase in income from worldwide markets.
• Revenue diversification.
• Action towards being a strong global brand.

Cons:

• Continuation of concerns associated with variety.
• Differences in cultures might caused a failure of the brand especially in Asian nations.
• Low incomes at preliminary levels.
• Increase in marketing expenditures to get market share.



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