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

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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 company in addition to the assessment of numerous options, the company is suggested to consider alternative 3. As alternative 3 would allow the business to broaden in global markets without any decrease in its local revenues and any degeneration of its market position. By thinking about Alternative 3, the company might preserve its store experience and brand name originality. Nevertheless, it might likewise consider alternative 2 that might permit the business to access the markets with no possible investment. Although, the business might pursue alternative 1 which would allow the business to concentrate on prospective worldwide markets instead of the regional markets however as the company is highly dependent on the regional markets with 90% of its shops in the United States, there fore pursuing option 1 would lead to the significant decrease in company's income. Therefore, the business is advised to consider alternative 3.

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

The company has a long term market position in United States which can not be produced soon in the brand-new markets. The option would help the company to broaden in global markets along with the elimination of concerns raised in its local markets related to its variety.

Pros:

• Exploration of brand-new worldwide markets.
• Boost in profits from worldwide markets.
• Removal of problems connected to variety.
• Earnings diversification.
• Step towards being a strong worldwide brand.

Cons:

• Loss of comprehensive profits from the regional markets.
• Increase in competition.
• Distinctions in cultures might caused a failure of the brand particularly in Asian countries.
• Low incomes at preliminary levels.
• Boost in marketing expenditures to gain market share.

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

Alternative 2 consists of the intro of online market places through generating an appropriate business's website. With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could posture a serious danger to the marketplace share of company. Furthermore, the rivals are shifting towards click and Recommendations of Jollibee Foods Corp. (A): International Expansion Case Help shops with Gap introducing Piperline. This shift towards online markets could decrease the earnings for business. In this situation the company might consider presenting Click and Recommendations of Jollibee Foods Corp. (A): International Expansion Case Analysis shops. These shops with a low requirement of funds to settle would make it possible for the company to reach global markets, without ending its domestic shops. The pros and cons of alternative 2 are given as follows;

Pros:

• Low investment
• Lowering competition risk
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Earnings
• Low Operating Expense
• Easy new market entrance

Cons:

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

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

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

Pros:

• Minimizing competition threat
• Access to the world markets
• Increasing the size of customer base
• Large Revenues
• Exploration of brand-new worldwide markets.
• Boost in income from international markets.
• Profits diversification.
• Action towards being a strong global brand name.

Cons:

• Extension of concerns related to diversity.
• Distinctions in cultures could led to a failure of the brand name especially in Asian nations.
• Low incomes at preliminary levels.
• Boost in marketing expenditures to get market share.



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