Recommendations of The Acquisition Of Consolidated Rail Corporation (B) Case Solution

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Recommendations of The Acquisition Of Consolidated Rail Corporation (B) Case Study Help

On the basis of above internal and external analysis of the company in addition to the assessment of different alternatives, the company is suggested to consider alternative 3. As alternative 3 would permit the company to expand in global markets without any decrease in its local incomes and any degeneration of its market position. By thinking about Alternative 3, the company might preserve its shop experience and brand individuality. It might also consider alternative 2 that could enable the company to access the markets without any possible financial investment. The business could pursue alternative 1 which would make it possible for the company to focus on prospective global markets rather than the regional markets however as the company is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the significant decline in company's profits. Therefore, the business is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of The Acquisition Of Consolidated Rail Corporation (B) Case Solution Stores

The business has a long term market position in United States which can not be generated soon in the brand-new markets. The alternative would assist the company to expand in global markets along with the elimination of issues raised in its local markets related to its variety.

Pros:

• Expedition of new worldwide markets.
• Boost in profits from worldwide markets.
• Elimination of concerns related to variety.
• Earnings diversification.
• Action towards being a strong global brand name.

Cons:

• Loss of extensive revenues from the regional markets.
• Boost in competition.
• Distinctions in cultures could resulted in a failure of the brand particularly in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of The Acquisition Of Consolidated Rail Corporation (B) Case Analysis Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could position a serious risk to the market share of company. In this scenario the business could think about presenting Click and Recommendations of The Acquisition Of Consolidated Rail Corporation (B) Case Solution stores. These stores with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic shops.

Pros:

• Low financial investment
• Minimizing competition danger
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Large Revenues
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Risk to the market position
• Elimination of brand name Originality
• Removal of the fantastic store experience.
• Risk of decline 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 worldwide markets without closing its domestic stores that contributes to the huge part of profits of the company. The advantages and disadvantages related to Alternative 3 are given listed below;

Pros:

• Minimizing competition hazard
• Access to the world markets
• Expanding consumer base
• Big Revenues
• Exploration of brand-new global markets.
• Increase in revenue from global markets.
• Profits diversity.
• Step towards being a strong worldwide brand name.

Cons:

• Extension of concerns associated with diversity.
• Differences in cultures could led to a failure of the brand particularly in Asian nations.
• Low profits at preliminary levels.
• Increase in marketing expenditures to acquire market share.



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