Recommendations of Bajaj Auto Limiteds Business Strategy: From Market Leader To Follower Case Solution

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Recommendations of Bajaj Auto Limiteds Business Strategy: From Market Leader To Follower Case Study Solution

On the basis of above internal and external analysis of the business along with the assessment of various alternatives, the business is suggested to think about alternative 3. As alternative 3 would enable the company to expand in global markets without any reduction in its regional profits and any wear and tear of its market position. The business might pursue alternative 1 which would enable the company to focus on possible international markets rather than the regional markets however as the business is extremely reliant on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the substantial decrease in business's income.

Aletrnative-1: Expanding International Brick and Recommendations of Bajaj Auto Limiteds Business Strategy: From Market Leader To Follower Case Solution Stores

The company has a long term market position in US which can not be generated quickly in the brand-new markets. The alternative would help the business to broaden in international markets along with the removal of issues raised in its regional markets related to its variety.

Pros:

• Expedition of brand-new international markets.
• Increase in revenue from global markets.
• Elimination of issues associated with diversity.
• Revenue diversification.
• Step towards being a strong international brand name.

Cons:

• Loss of extensive incomes from the regional markets.
• Increase in competition.
• Distinctions in cultures might caused a failure of the brand name especially in Asian countries.
• Low revenues at initial levels.
• Boost in marketing expenses to get market share.

Alternative-2: Introduction of Click and Recommendations of Bajaj Auto Limiteds Business Strategy: From Market Leader To Follower Case Solution Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might pose a serious hazard to the market share of company. In this situation the business might think about presenting Click and Recommendations of Bajaj Auto Limiteds Business Strategy: From Market Leader To Follower Case Solution shops. These shops with a low requirement of funds to settle would allow the company to reach international markets, without ending its domestic stores.

Pros:

• Low financial investment
• Minimizing competitors threat
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Big Profits
• Low Operating Expense
• Easy new market entryway

Cons:

• Risk to the marketplace position
• Removal of brand name Uniqueness
• Removal of the fantastic shop experience.
• Danger of decrease in elite sales.

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

Another option that the business might think about, is to expand towards the worldwide markets without closing its domestic stores that contributes to the major part of revenues of the business. The benefits and drawbacks related to Alternative 3 are given listed below;

Pros:

• Decreasing competitors risk
• Access to the world markets
• Increasing the size of consumer base
• Large Profits
• Exploration of brand-new worldwide markets.
• Boost in profits from global markets.
• Earnings diversity.
• Action towards being a strong global brand name.

Cons:

• Extension of concerns connected to variety.
• Distinctions in cultures could resulted in a failure of the brand particularly in Asian countries.
• Low incomes at initial levels.
• Boost in marketing expenditures to gain market share.



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