Recommendations of Dell.Com Managing The Electronic Supply Chain Effectively Case Analysis

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Recommendations of Dell.Com Managing The Electronic Supply Chain Effectively Case Study Analysis

On the basis of above internal and external analysis of the business together with the assessment of various options, the business is suggested to consider alternative 3. As alternative 3 would permit the business to expand in international markets with no reduction in its local revenues and any deterioration of its market position. By thinking about Alternative 3, the business might preserve its shop experience and brand individuality. It could likewise think about alternative 2 that might enable the business to access the markets without any prospective financial investment. Although, the business could pursue alternative 1 which would make it possible for the business to concentrate on possible worldwide markets instead of the local markets however as the business is extremely depending on the local markets with 90% of its shops in the US, there fore pursuing option 1 would lead to the substantial decrease in company's revenue. The business is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Dell.Com Managing The Electronic Supply Chain Effectively Case Help Stores

Expansion towards global markets through opening new stores in other Europe and Asian countries with closing domestic shops is although an excellent option for increasing the international existence of the business. However, the closing of domestic stores could extremely affect the profits of the company as above 90% of its stores lie domestically and closing those stores would ultimately minimize the revenues of the company. Additionally, the business has a long term market position in United States which can not be generated quickly in the new markets. The alternative would assist the business to expand in worldwide markets along with the removal of issues raised in its regional markets connected to its variety. The advantages and disadvantages for Option 1 are noted below;

Pros:

• Exploration of new global markets.
• Boost in revenue from global markets.
• Elimination of problems related to diversity.
• Revenue diversification.
• Step towards being a strong worldwide brand name.

Cons:

• Loss of comprehensive profits from the local markets.
• Increase in competitors.
• Distinctions in cultures might caused a failure of the brand especially in Asian countries.
• Low revenues at initial levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Dell.Com Managing The Electronic Supply Chain Effectively Case Analysis Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could posture a severe threat to the market share of business. In this scenario the company could consider introducing Click and Recommendations of Dell.Com Managing The Electronic Supply Chain Effectively Case Help stores. These stores with a low requirement of funds to settle would allow the business to reach worldwide markets, without ending its domestic shops.

Pros:

• Low financial investment
• Lowering competitors risk
• Access to the world markets
• Enlarging customer base
• Easy to handle
• Large Profits
• Low Operating Costs
• Easy new market entryway

Cons:

• Risk to the marketplace position
• Removal of brand name Originality
• Removal of the excellent store experience.
• Danger of decline in elite sales.

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

Another option that the company might think about, is to expand towards the international markets without closing its domestic shops that contributes to the huge part of profits of the company. The benefits and drawbacks related to Alternative 3 are given below;

Pros:

• Minimizing competitors danger
• Access to the world markets
• Expanding consumer base
• Large Incomes
• Expedition of new worldwide markets.
• Boost in income from worldwide markets.
• Profits diversity.
• Action towards being a strong global brand.

Cons:

• Extension of problems associated with diversity.
• Distinctions in cultures might caused a failure of the brand especially in Asian nations.
• Low earnings at initial levels.
• Increase in marketing expenses to get market share.



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