Recommendations of Changing The Role Of Top Management: Beyond Systems To People Case Solution

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Recommendations of Changing The Role Of Top Management: Beyond Systems To People Case Study Analysis

On the basis of above internal and external analysis of the company along with the evaluation of different alternatives, the company is recommended to consider alternative 3. As alternative 3 would permit the business to expand in international markets without any reduction in its local earnings and any wear and tear of its market position. The business might pursue alternative 1 which would make it possible for the business to focus on possible worldwide markets rather than the local markets however as the business is highly dependent on the local markets with 90% of its shops in the US, there fore pursuing alternative 1 would result in the substantial decrease in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Changing The Role Of Top Management: Beyond Systems To People Case Help Stores

Growth towards worldwide markets through opening brand-new stores in other Europe and Asian countries with closing domestic shops is although a great alternative for increasing the international presence of the business. The closing of domestic stores might extremely impact the profits of the company as above 90% of its stores are located domestically and closing those stores would eventually decrease the profits of the firm. Furthermore, the company has a long term market position in US which can not be produced soon in the brand-new markets. The alternative would help the business to broaden in global markets in addition to the removal of issues raised in its local markets related to its variety. The pros and Cons for Option 1 are listed below;

Pros:

• Exploration of new worldwide markets.
• Boost in profits from global markets.
• Removal of problems related to variety.
• Income diversification.
• Step towards being a strong global brand name.

Cons:

• Loss of extensive revenues from the regional markets.
• Boost in competitors.
• Differences in cultures might caused a failure of the brand name especially in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Changing The Role Of Top Management: Beyond Systems To People Case Help Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on might posture a serious threat to the market share of company. In this situation the company could think about presenting Click and Recommendations of Changing The Role Of Top Management: Beyond Systems To People Case Analysis shops. These shops with a low requirement of funds to settle would allow the company to reach global markets, without ending its domestic shops.

Pros:

• Low financial investment
• Decreasing competition hazard
• Access to the world markets
• Expanding customer base
• Easy to handle
• Big Incomes
• Low Operating Expense
• Easy new market entrance

Cons:

• Hazard to the market position
• Removal of brand name Originality
• Elimination of the excellent shop experience.
• Threat of decline in elite sales.

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

Another choice that the company could think about, is to expand towards the worldwide markets without closing its domestic stores that contributes to the major part of revenues of the company. The benefits and drawbacks connected to Alternative 3 are provided listed below;

Pros:

• Decreasing competitors threat
• Access to the world markets
• Expanding consumer base
• Large Revenues
• Exploration of new international markets.
• Boost in revenue from global markets.
• Earnings diversification.
• Step towards being a strong global brand.

Cons:

• Extension of problems connected to diversity.
• Differences in cultures could led to a failure of the brand name specifically in Asian nations.
• Low revenues at initial levels.
• Increase in marketing expenditures to get market share.



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