Recommendations of Thomas Cook Group On The Brink (A) (B) And © Case Help

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Recommendations of Thomas Cook Group On The Brink (A) (B) And © Case Study Help

On the basis of above internal and external analysis of the business together with the assessment of numerous alternatives, the company is advised to think about alternative 3. As alternative 3 would permit the company to broaden in worldwide markets without any decrease in its local incomes and any degeneration of its market position. By considering Alternative 3, the company might maintain its shop experience and brand name individuality. Nevertheless, it might also consider alternative 2 that might permit the business to access the markets without any potential financial investment. Although, the company might pursue alternative 1 which would enable the business to concentrate on potential international markets instead of the local markets however as the business is highly depending on the regional markets with 90% of its stores in the US, there fore pursuing alternative 1 would lead to the substantial decrease in business's revenue. The company is recommended to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Thomas Cook Group On The Brink (A) (B) And © Case Help Stores

Growth towards worldwide markets through opening brand-new stores in other Europe and Asian countries with closing domestic stores is although a good alternative for increasing the worldwide presence of the business. The closing of domestic shops might highly affect the profits of the company as above 90% of its stores are situated locally and closing those stores would ultimately decrease the earnings of the firm. Furthermore, the business has a long term market position in United States which can not be produced quickly in the brand-new markets. The option would assist the company to expand in worldwide markets in addition to the removal of issues raised in its regional markets associated with its variety. The benefits and drawbacks for Option 1 are listed below;

Pros:

• Expedition of new international markets.
• Boost in earnings from international markets.
• Elimination of problems associated with diversity.
• Profits diversity.
• Action towards being a strong worldwide brand.

Cons:

• Loss of extensive earnings from the regional markets.
• Boost in competitors.
• Distinctions in cultures could resulted in a failure of the brand name especially in Asian countries.
• Low earnings at initial levels.
• Boost in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Thomas Cook Group On The Brink (A) (B) And © Case Analysis Stores

Alternative 2 consists of the intro of online market places through producing a proper company's website. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might pose a severe risk to the market share of company. The competitors are shifting towards click and Recommendations of Thomas Cook Group On The Brink (A) (B) And © Case Help stores with Gap introducing Piperline. This shift towards online markets could lower the incomes for company. In this scenario the business could think about presenting Click and Recommendations of Thomas Cook Group On The Brink (A) (B) And © Case Help stores. These shops with a low requirement of funds to settle would enable the business to reach international markets, without ending its domestic shops. The advantages and disadvantages of option 2 are provided as follows;

Pros:

• Low financial investment
• Minimizing competition threat
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Large Incomes
• Low Operating Expense
• Easy brand-new market entryway

Cons:

• Risk to the marketplace position
• Removal of brand name Originality
• Elimination of the great shop experience.
• Risk of decline in elite sales.

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

Another alternative that the company might consider, is to expand towards the global markets without closing its domestic stores that contributes to the huge part of profits of the business. The pros and cons related to Alternative 3 are provided listed below;

Pros:

• Reducing competitors hazard
• Access to the world markets
• Expanding customer base
• Large Earnings
• Expedition of new global markets.
• Boost in income from worldwide markets.
• Revenue diversity.
• Step towards being a strong global brand name.

Cons:

• Extension of problems associated with diversity.
• Differences in cultures might resulted in a failure of the brand particularly in Asian nations.
• Low earnings at preliminary levels.
• Increase in marketing expenses to get market share.



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