Recommendations of Fords E-Business Strategy Case Solution

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Recommendations of Fords E-Business Strategy Case Study Analysis

On the basis of above internal and external analysis of the company in addition to the examination of numerous options, the company is recommended to consider alternative 3. As alternative 3 would permit the business to broaden in international markets with no decrease in its local profits and any wear and tear of its market position. By thinking about Alternative 3, the business could maintain its shop experience and brand uniqueness. Nevertheless, it might also think about alternative 2 that could permit the business to access the marketplaces without any prospective investment. Although, the company could pursue alternative 1 which would allow the company to concentrate on possible international markets instead of the regional markets but as the business is extremely depending on the regional markets with 90% of its shops in the US, there fore pursuing alternative 1 would lead to the substantial decrease in company's income. Therefore, the company is advised to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Fords E-Business Strategy Case Solution Stores

Expansion towards international markets through opening new stores in other Europe and Asian nations with closing domestic shops is although a good choice for increasing the global presence of the business. However, the closing of domestic stores might extremely affect the earnings of the firm as above 90% of its stores lie domestically and closing those shops would eventually minimize the profits of the company. Additionally, the business has a long term market position in US which can not be generated soon in the new markets. The alternative would help the business to broaden in global markets along with the elimination of problems raised in its local markets related to its diversity. The pros and Cons for Option 1 are noted below;

Pros:

• Expedition of brand-new worldwide markets.
• Boost in income from international markets.
• Removal of concerns associated with variety.
• Earnings diversification.
• Action towards being a strong global 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 earnings at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Fords E-Business Strategy Case Solution Stores

With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on could position a severe danger to the market share of business. In this scenario the company could think about presenting Click and Recommendations of Fords E-Business Strategy Case Help stores. These stores with a low requirement of funds to settle would allow the company to reach global markets, without ending its domestic shops.

Pros:

• Low financial investment
• Decreasing competition hazard
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Large Profits
• Low Operating Expense
• Easy new market entrance

Cons:

• Risk to the marketplace position
• Elimination of brand Individuality
• Removal of the terrific shop experience.
• Risk of decline in elite sales.

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

Another alternative that the business could consider, is to expand towards the international markets without closing its domestic shops that contributes to the major part of incomes of the company. The pros and cons associated with Alternative 3 are provided listed below;

Pros:

• Lowering competition danger
• Access to the world markets
• Increasing the size of consumer base
• Big Profits
• Expedition of new global markets.
• Boost in profits from worldwide markets.
• Income diversification.
• Step towards being a strong worldwide brand.

Cons:

• Continuation of issues associated with variety.
• Distinctions in cultures might caused a failure of the brand name specifically in Asian countries.
• Low incomes at initial levels.
• Boost in marketing expenditures to gain market share.



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