Recommendations of Benettons Dual Supply Chain System Case Help

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Recommendations of Benettons Dual Supply Chain System Case Study Solution

On the basis of above internal and external analysis of the business along with the examination of various alternatives, the business is advised to think about alternative 3. As alternative 3 would permit the company to broaden in worldwide markets without any decrease in its regional revenues and any degeneration of its market position. The company could pursue alternative 1 which would allow the business to focus on prospective global markets rather than the regional markets however as the business is highly dependent on the regional markets with 90% of its shops in the US, there fore pursuing option 1 would result in the considerable decrease in company's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Benettons Dual Supply Chain System Case Help Stores

The business has a long term market position in United States which can not be generated soon in the new markets. The choice would help the company to broaden in international markets along with the removal of problems raised in its local markets related to its variety.

Pros:

• Expedition of new international markets.
• Increase in revenue from worldwide markets.
• Removal of issues connected to diversity.
• Revenue diversification.
• Step towards being a strong global brand.

Cons:

• Loss of substantial earnings from the regional markets.
• Boost in competition.
• Distinctions in cultures could caused a failure of the brand particularly in Asian countries.
• Low revenues at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Benettons Dual Supply Chain System Case Solution Stores

Alternative 2 includes the introduction of online market places through generating an appropriate business's site. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on could posture a serious threat to the market share of company. The rivals are shifting towards click and Recommendations of Benettons Dual Supply Chain System Case Analysis shops with Gap introducing Piperline. This shift towards online markets could lower the revenues for business. In this situation the business might think about introducing Click and Recommendations of Benettons Dual Supply Chain System Case Solution shops. These shops with a low requirement of funds to settle would enable the business to reach worldwide markets, without ending its domestic stores. The advantages and disadvantages of option 2 are provided as follows;

Pros:

• Low investment
• Reducing competitors danger
• Access to the world markets
• Increasing the size of customer base
• Easy to manage
• Big Revenues
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Elimination of brand name Uniqueness
• Elimination of the terrific store experience.
• Danger of decline in elite sales.

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

Another choice that the business might consider, is to broaden towards the worldwide markets without closing its domestic stores that contributes to the major part of incomes of the business. The advantages and disadvantages related to Alternative 3 are given below;

Pros:

• Minimizing competitors hazard
• Access to the world markets
• Increasing the size of consumer base
• Large Profits
• Expedition of new international markets.
• Boost in revenue from worldwide markets.
• Income diversification.
• Step towards being a strong international brand.

Cons:

• Extension of concerns related to variety.
• Distinctions in cultures could caused a failure of the brand name especially in Asian nations.
• Low revenues at preliminary levels.
• Boost in marketing expenses to gain market share.



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