Recommendations of Clayton Industries: Peter Arnell Country Manager For Italy Case Solution

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Recommendations of Clayton Industries: Peter Arnell Country Manager For Italy Case Study Analysis

On the basis of above internal and external analysis of the business along with the assessment of various alternatives, the business is suggested to think about alternative 3. As alternative 3 would enable the business to expand in international markets without any reduction in its local earnings and any degeneration of its market position. The business could pursue alternative 1 which would allow the business to focus on prospective international markets rather than the regional markets however as the business is extremely reliant 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 revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Clayton Industries: Peter Arnell Country Manager For Italy Case Help Stores

Growth towards worldwide markets through opening brand-new stores in other Europe and Asian nations with closing domestic stores is although a good alternative for increasing the international presence of the business. However, the closing of domestic stores could highly affect the earnings of the company as above 90% of its shops lie locally and closing those stores would eventually reduce the earnings of the company. The business has a long term market position in US which can not be produced soon in the new markets. The choice would assist the business to broaden in international markets in addition to the removal of problems raised in its local markets connected to its variety. The pros and Cons for Alternative 1 are listed below;

Pros:

• Expedition of new international markets.
• Increase in revenue from international markets.
• Elimination of concerns related to diversity.
• Income diversification.
• Action towards being a strong worldwide brand.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Increase in competitors.
• Differences in cultures could caused a failure of the brand specifically in Asian countries.
• Low profits at preliminary levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Clayton Industries: Peter Arnell Country Manager For Italy Case Help Stores

Alternative 2 includes the intro of online market places through generating an appropriate company's website. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could posture an extreme risk to the market share of business. Additionally, the competitors are shifting towards click and Recommendations of Clayton Industries: Peter Arnell Country Manager For Italy Case Help stores with Space introducing Piperline. This shift towards online markets could minimize the revenues for business. In this circumstance the business could think about presenting Click and Recommendations of Clayton Industries: Peter Arnell Country Manager For Italy Case Solution stores. These stores with a low requirement of funds to settle would make it possible for the business to reach international markets, without ending its domestic stores. The pros and cons of option 2 are provided as follows;

Pros:

• Low financial investment
• Minimizing competitors hazard
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Large Earnings
• Low Operating Expense
• Easy new market entrance

Cons:

• Threat to the marketplace position
• Removal of brand Uniqueness
• Removal of the great store experience.
• Threat of decline in elite sales.

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

Another alternative that the company could consider, is to broaden towards the international markets without closing its domestic stores that contributes to the major part of profits of the business. The advantages and disadvantages related to Alternative 3 are provided listed below;

Pros:

• Reducing competitors hazard
• Access to the world markets
• Increasing the size of customer base
• Big Revenues
• Expedition of new international markets.
• Increase in revenue from global markets.
• Profits diversification.
• Action towards being a strong global brand name.

Cons:

• Continuation of issues connected to variety.
• Distinctions in cultures could caused a failure of the brand name especially in Asian nations.
• Low earnings at initial levels.
• Boost in marketing expenditures to gain market share.



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