Recommendations of Global Wine War 2009: New World Versus Old Case Analysis

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Recommendations of Global Wine War 2009: New World Versus Old Case Study Analysis

On the basis of above internal and external analysis of the company along with the assessment of numerous alternatives, the company is advised to think about alternative 3. As alternative 3 would allow the company to expand in worldwide markets without any decrease in its regional incomes and any deterioration of its market position. The company could pursue alternative 1 which would enable the business to focus on potential worldwide markets rather than the regional markets but as the business is highly dependent on the regional markets with 90% of its shops in the US, there fore pursuing alternative 1 would result in the considerable decline in business's income.

Aletrnative-1: Expanding International Brick and Recommendations of Global Wine War 2009: New World Versus Old Case Solution Stores

The business has a long term market position in US which can not be created quickly in the brand-new markets. The choice would assist the business to broaden in worldwide markets along with the elimination of issues raised in its regional markets related to its diversity.

Pros:

• Exploration of new international markets.
• Boost in earnings from worldwide markets.
• Elimination of concerns related to variety.
• Revenue diversification.
• Step towards being a strong international brand.

Cons:

• Loss of comprehensive profits from the local markets.
• Increase in competitors.
• Distinctions in cultures could led to a failure of the brand name particularly in Asian countries.
• Low revenues at initial levels.
• Boost in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Global Wine War 2009: New World Versus Old Case Analysis Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba etc. might pose a serious threat to the market share of business. In this circumstance the company could consider introducing Click and Recommendations of Global Wine War 2009: New World Versus Old Case Solution shops. These shops with a low requirement of funds to settle would enable the company to reach international markets, without ending its domestic shops.

Pros:

• Low investment
• Lowering competitors risk
• Access to the world markets
• Increasing the size of customer base
• Easy to manage
• Large Revenues
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the market position
• Removal of brand name Originality
• Elimination of the terrific store experience.
• Threat of decrease in elite sales.

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

Another alternative that the business could consider, is to expand towards the worldwide markets without closing its domestic stores that adds to the huge part of revenues of the company. The pros and cons associated with Alternative 3 are given below;

Pros:

• Reducing competitors risk
• Access to the world markets
• Expanding customer base
• Large Revenues
• Exploration of brand-new worldwide markets.
• Increase in earnings from international markets.
• Profits diversity.
• Step towards being a strong global brand name.

Cons:

• Extension of problems associated with variety.
• Distinctions in cultures could led to a failure of the brand name specifically in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenditures to acquire market share.



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