Recommendations of The De Beers Group: Launching Gemfair For Artisanal Diamonds Case Analysis

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Recommendations of The De Beers Group: Launching Gemfair For Artisanal Diamonds Case Study Help

On the basis of above internal and external analysis of the business along with the examination of numerous alternatives, the business is recommended to consider alternative 3. As alternative 3 would permit the business to broaden in worldwide markets without any reduction in its regional incomes and any wear and tear of its market position. The business might pursue alternative 1 which would allow the company to focus on possible global markets rather than the local markets however as the business is highly reliant on the regional markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the considerable decrease in company's income.

Aletrnative-1: Expanding International Brick and Recommendations of The De Beers Group: Launching Gemfair For Artisanal Diamonds Case Solution Stores

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

Pros:

• Expedition of new global markets.
• Increase in earnings from international markets.
• Elimination of concerns associated with variety.
• Profits diversity.
• Step towards being a strong global brand.

Cons:

• Loss of extensive revenues from the regional markets.
• Boost in competition.
• Distinctions in cultures could led to a failure of the brand name specifically in Asian countries.
• Low earnings at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of The De Beers Group: Launching Gemfair For Artisanal Diamonds Case Analysis Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on could pose a severe danger to the market share of company. In this scenario the company might consider introducing Click and Recommendations of The De Beers Group: Launching Gemfair For Artisanal Diamonds Case Help stores. These shops with a low requirement of funds to settle would allow the company to reach worldwide markets, without ending its domestic stores.

Pros:

• Low financial investment
• Lowering competitors risk
• Access to the world markets
• Expanding consumer base
• Easy to manage
• Big Earnings
• Low Operating Costs
• Easy new market entryway

Cons:

• Risk to the market position
• Removal of brand Individuality
• Removal of the terrific shop experience.
• Risk of decline in elite sales.

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

Another alternative that the business might consider, is to broaden towards the global markets without closing its domestic stores that contributes to the major part of revenues of the company. The pros and cons connected to Alternative 3 are provided below;

Pros:

• Decreasing competitors hazard
• Access to the world markets
• Increasing the size of customer base
• Large Earnings
• Exploration of new international markets.
• Boost in profits from international markets.
• Income diversification.
• Step towards being a strong international brand.

Cons:

• Continuation of issues associated with diversity.
• Distinctions in cultures might caused a failure of the brand name especially in Asian countries.
• Low incomes at preliminary levels.
• Increase in marketing expenses to get market share.



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