Recommendations of Acquisition Of Axon By Hcl Technologies Limited Case Analysis

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Recommendations of Acquisition Of Axon By Hcl Technologies Limited Case Study Help

On the basis of above internal and external analysis of the company along with the examination of various alternatives, the business is suggested to think about alternative 3. As alternative 3 would permit the business to expand in global markets with no decrease in its regional incomes and any degeneration of its market position. By thinking about Alternative 3, the company might keep its shop experience and brand name originality. It might also think about alternative 2 that might permit the company to access the markets without any potential financial investment. The company might pursue alternative 1 which would allow the business to focus on potential global markets rather than the local markets but as the business is extremely reliant on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the significant decline in business's profits. Therefore, the company is recommended to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Acquisition Of Axon By Hcl Technologies Limited Case Help Stores

Growth towards international markets through opening new shops in other Europe and Asian countries with closing domestic shops is although an excellent option for increasing the worldwide existence of the business. However, the closing of domestic stores could extremely impact the revenues of the company as above 90% of its shops are located domestically and closing those stores would ultimately minimize the earnings of the firm. Furthermore, the business has a long term market position in US which can not be created soon in the brand-new markets. The alternative would assist the business to broaden in global markets along with the removal of issues raised in its regional markets associated with its diversity. The advantages and disadvantages for Alternative 1 are listed below;

Pros:

• Expedition of new worldwide markets.
• Increase in profits from worldwide markets.
• Elimination of concerns related to variety.
• Revenue diversification.
• Action towards being a strong global brand name.

Cons:

• Loss of comprehensive profits from the local markets.
• Increase in competition.
• Distinctions in cultures might resulted in a failure of the brand name especially in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Acquisition Of Axon By Hcl Technologies Limited Case Analysis Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba etc. could present a severe threat to the market share of business. In this scenario the company might think about introducing Click and Recommendations of Acquisition Of Axon By Hcl Technologies Limited Case Help shops. These shops with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic stores.

Pros:

• Low investment
• Reducing competition risk
• Access to the world markets
• Increasing the size of customer base
• Easy to manage
• Big Profits
• Low Operating Expense
• Easy new market entryway

Cons:

• Threat to the marketplace position
• Removal of brand name Originality
• Removal of the fantastic store experience.
• Threat of decline in elite sales.

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

Another choice that the business might think about, is to expand towards the global markets without closing its domestic stores that contributes to the huge part of revenues of the business. The advantages and disadvantages related to Alternative 3 are provided below;

Pros:

• Minimizing competitors danger
• Access to the world markets
• Increasing the size of customer base
• Big Incomes
• Expedition of new international markets.
• Boost in revenue from global markets.
• Profits diversification.
• Step towards being a strong international brand.

Cons:

• Continuation of problems connected to diversity.
• Differences in cultures might resulted in a failure of the brand particularly in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenses to get market share.



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