Recommendations of General Electric: Reg Jones And Jack Welch Case Solution

Home >> Hbr >> General Electric: Reg Jones And Jack Welch >> Recommendations

Recommendations of General Electric: Reg Jones And Jack Welch Case Study Analysis

On the basis of above internal and external analysis of the business along with the evaluation of numerous alternatives, the business is suggested to consider alternative 3. As alternative 3 would enable the business to broaden in global markets with no decrease in its local profits and any wear and tear of its market position. By considering Alternative 3, the company could maintain its store experience and brand originality. It could also consider alternative 2 that could enable the company to access the markets without any prospective investment. Although, the company could pursue alternative 1 which would enable the company to focus on possible international markets rather than the local markets however as the company is extremely dependent on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the considerable decline in company's earnings. Therefore, the business is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of General Electric: Reg Jones And Jack Welch Case Help Stores

Growth towards worldwide markets through opening brand-new shops in other Europe and Asian nations with closing domestic stores is although a good option for increasing the international existence of the business. The closing of domestic shops might extremely impact the incomes of the firm as above 90% of its shops are located domestically and closing those shops would eventually reduce the earnings of the company. Furthermore, the business has a long term market position in United States which can not be generated quickly in the brand-new markets. The alternative would help the company to broaden in global markets along with the elimination of problems raised in its regional markets related to its variety. The advantages and disadvantages for Option 1 are noted below;

Pros:

• Expedition of new global markets.
• Increase in earnings from global markets.
• Removal of concerns connected to diversity.
• Income diversity.
• Step towards being a strong international brand.

Cons:

• Loss of extensive profits from the local markets.
• Increase in competitors.
• Differences in cultures could led to a failure of the brand particularly in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of General Electric: Reg Jones And Jack Welch Case Analysis Stores

Alternative 2 includes the introduction of online market locations through generating an appropriate business's website. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might posture a serious threat to the market share of company. Furthermore, the rivals are shifting towards click and Recommendations of General Electric: Reg Jones And Jack Welch Case Solution shops with Space introducing Piperline. This shift towards online markets could lower the earnings for business. In this circumstance the company could think about introducing Click and Recommendations of General Electric: Reg Jones And Jack Welch 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 given as follows;

Pros:

• Low financial investment
• Minimizing competition hazard
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Big Revenues
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Hazard to the market position
• Elimination of brand Uniqueness
• Elimination of the fantastic store experience.
• Risk of decrease in elite sales.

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

Another alternative that the business could think about, is to expand towards the global markets without closing its domestic stores that adds to the major part of earnings of the company. The benefits and drawbacks connected to Alternative 3 are offered below;

Pros:

• Lowering competitors threat
• Access to the world markets
• Enlarging consumer base
• Big Earnings
• Exploration of new worldwide markets.
• Boost in income from international markets.
• Income diversification.
• Action towards being a strong worldwide brand name.

Cons:

• Extension of problems associated with variety.
• Distinctions in cultures could resulted in a failure of the brand especially in Asian countries.
• Low earnings at preliminary levels.
• Boost in marketing expenses to acquire market share.



This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.