Recommendations of Jollibee Foods Corp (A): International Expansion Case Help

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Recommendations of Jollibee Foods Corp (A): International Expansion Case Study Help

On the basis of above internal and external analysis of the business along with the assessment of numerous options, the business is suggested to consider alternative 3. As alternative 3 would allow the company to broaden in worldwide markets without any decrease in its local profits and any wear and tear of its market position. The business could pursue alternative 1 which would enable the company to focus on prospective global markets rather than the regional markets but as the company 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 decrease in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Jollibee Foods Corp (A): International Expansion Case Help Stores

Growth towards worldwide markets through opening new stores in other Europe and Asian countries with closing domestic stores is although a great alternative for increasing the global presence of the company. The closing of domestic stores could extremely affect the incomes of the company as above 90% of its shops are situated domestically and closing those stores would ultimately lower the incomes of the company. Furthermore, the business has a long term market position in US which can not be generated quickly in the new markets. The choice would help the company to expand in global markets in addition to the removal of issues raised in its regional markets connected to its diversity. The advantages and disadvantages for Option 1 are noted below;

Pros:

• Exploration of new international markets.
• Boost in revenue from international markets.
• Removal of problems connected to diversity.
• Earnings diversity.
• Action towards being a strong worldwide brand.

Cons:

• Loss of substantial incomes from the local markets.
• Boost in competitors.
• Differences in cultures could led to a failure of the brand name especially in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Jollibee Foods Corp (A): International Expansion Case Help Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might posture an extreme hazard to the market share of business. In this situation the business might consider introducing Click and Recommendations of Jollibee Foods Corp (A): International Expansion Case Solution stores. These stores with a low requirement of funds to settle would enable the business to reach worldwide markets, without ending its domestic stores.

Pros:

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

Cons:

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

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

Another choice that the company might consider, is to expand towards the international markets without closing its domestic shops that contributes to the huge part of earnings of the company. The benefits and drawbacks connected to Alternative 3 are given listed below;

Pros:

• Minimizing competitors hazard
• Access to the world markets
• Enlarging customer base
• Large Incomes
• Exploration of brand-new global markets.
• Boost in earnings from international markets.
• Income diversity.
• Action towards being a strong worldwide brand.

Cons:

• Extension of concerns connected to diversity.
• Distinctions in cultures could caused a failure of the brand specifically in Asian countries.
• Low profits at initial levels.
• Boost in marketing expenditures to acquire market share.



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