Recommendations of Note On Value Drivers Case Solution

Home >> Harvard Business School >> Note On Value Drivers >> Recommendations

Recommendations of Note On Value Drivers Case Study Analysis

On the basis of above internal and external analysis of the business along with the evaluation of various options, the company is recommended to think about alternative 3. As alternative 3 would permit the business to expand in worldwide markets with no decrease in its local earnings and any wear and tear of its market position. By considering Alternative 3, the company could preserve its shop experience and brand uniqueness. It might likewise think about alternative 2 that could permit the company to access the markets without any prospective investment. 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 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. The company is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Note On Value Drivers Case Help Stores

Expansion towards worldwide markets through opening brand-new shops in other Europe and Asian nations with closing domestic shops is although a great choice for increasing the global presence of the company. However, the closing of domestic stores might extremely affect the incomes of the firm as above 90% of its shops lie locally and closing those stores would eventually decrease the revenues of the company. Moreover, the company has a long term market position in United States which can not be generated soon in the new markets. The choice would help the business to broaden in worldwide markets along with the elimination of issues raised in its local markets associated with its diversity. The benefits and drawbacks for Option 1 are listed below;

Pros:

• Expedition of brand-new global markets.
• Increase in income from global markets.
• Elimination of issues connected to diversity.
• Income diversification.
• Action towards being a strong worldwide brand name.

Cons:

• Loss of substantial earnings from the local markets.
• Boost in competition.
• Differences in cultures could led to a failure of the brand especially in Asian countries.
• Low incomes at initial levels.
• Increase in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of Note On Value Drivers Case Analysis Stores

Alternative 2 consists of the introduction of online market places through generating an appropriate business's website. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could pose a severe risk to the market share of company. The rivals are moving towards click and Recommendations of Note On Value Drivers Case Solution shops with Space introducing Piperline. This shift towards online markets might minimize the profits for company. In this situation the company might think about introducing Click and Recommendations of Note On Value Drivers Case Solution stores. These stores with a low requirement of funds to settle would allow the company to reach global markets, without ending its domestic shops. The benefits and drawbacks of option 2 are provided as follows;

Pros:

• Low investment
• Lowering competition hazard
• Access to the world markets
• Expanding customer base
• Easy to manage
• Big Earnings
• Low Operating Costs
• Easy new market entryway

Cons:

• Risk to the marketplace position
• Elimination of brand name Uniqueness
• Removal of the terrific store experience.
• Risk of decline in elite sales.

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

Another alternative that the company could consider, is to broaden towards the global markets without closing its domestic stores that adds to the major part of profits of the business. The advantages and disadvantages associated with Alternative 3 are given below;

Pros:

• Decreasing competitors threat
• Access to the world markets
• Expanding consumer base
• Large Profits
• Expedition of new international markets.
• Increase in income from global markets.
• Income diversity.
• Step towards being a strong international brand.

Cons:

• Continuation of issues connected to diversity.
• Differences in cultures could caused a failure of the brand name specifically in Asian nations.
• Low earnings at initial levels.
• Increase in marketing expenditures to acquire market share.



This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.