Recommendations of Shawmut National Corporations Merger With Bank Of Boston Corporation (B) Case Solution

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Recommendations of Shawmut National Corporations Merger With Bank Of Boston Corporation (B) Case Study Analysis

On the basis of above internal and external analysis of the company along with the assessment of numerous options, the business is advised to consider alternative 3. As alternative 3 would enable the business to expand in international markets without any reduction in its regional profits and any wear and tear of its market position. The company might pursue alternative 1 which would make it possible for the business to focus on prospective global markets rather than the local markets however as the company is extremely reliant on the local markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the significant decline in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Shawmut National Corporations Merger With Bank Of Boston Corporation (B) Case Solution Stores

The company has a long term market position in United States which can not be produced quickly in the new markets. The choice would assist the business to broaden in global markets along with the elimination of problems raised in its local markets related to its diversity.

Pros:

• Exploration of brand-new global markets.
• Increase in income from global markets.
• Removal of problems connected to variety.
• Profits diversification.
• Action towards being a strong international brand name.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Boost in competition.
• Distinctions in cultures could led to a failure of the brand name specifically in Asian nations.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Shawmut National Corporations Merger With Bank Of Boston Corporation (B) Case Analysis Stores

Alternative 2 consists of the intro of online market places through producing a correct business's site. With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. could position an extreme threat to the marketplace share of business. Additionally, the competitors are shifting towards click and Recommendations of Shawmut National Corporations Merger With Bank Of Boston Corporation (B) Case Analysis shops with Gap presenting Piperline. This shift towards online markets might decrease the incomes for business. In this scenario the company might consider introducing Click and Recommendations of Shawmut National Corporations Merger With Bank Of Boston Corporation (B) Case Help shops. These shops with a low requirement of funds to settle would make it possible for the business to reach worldwide markets, without ending its domestic shops. The benefits and drawbacks of alternative 2 are given as follows;

Pros:

• Low investment
• Lowering competitors danger
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Big Profits
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Threat to the market position
• Removal of brand Originality
• Elimination of the fantastic shop experience.
• Risk of decrease in elite sales.

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

Another choice that the business could consider, is to expand towards the global markets without closing its domestic shops that contributes to the major part of revenues of the company. The benefits and drawbacks associated with Alternative 3 are given below;

Pros:

• Minimizing competitors danger
• Access to the world markets
• Enlarging customer base
• Large Incomes
• Exploration of brand-new worldwide markets.
• Increase in revenue from worldwide markets.
• Income diversification.
• Step towards being a strong global brand name.

Cons:

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



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