Recommendations of Gateway: Implementing Innovative Strategies In The It Industry Case Solution

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Recommendations of Gateway: Implementing Innovative Strategies In The It Industry Case Study Analysis

On the basis of above internal and external analysis of the business along with the examination of numerous alternatives, the business is recommended to think about alternative 3. As alternative 3 would enable the business to broaden in international markets without any reduction in its regional earnings and any wear and tear of its market position. The company could pursue alternative 1 which would enable the business to focus on potential worldwide markets rather than the local markets however as the company is extremely reliant on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the considerable decline in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Gateway: Implementing Innovative Strategies In The It Industry Case Solution Stores

Expansion towards global markets through opening brand-new stores in other Europe and Asian nations with closing domestic shops is although an excellent choice for increasing the worldwide existence of the company. However, the closing of domestic shops might highly affect the revenues of the firm as above 90% of its shops lie domestically and closing those shops would ultimately lower the profits of the company. The company has a long term market position in US which can not be produced quickly in the new markets. The option would help the company to expand in worldwide markets in addition to the elimination of problems raised in its local markets connected to its diversity. The advantages and disadvantages for Option 1 are noted below;

Pros:

• Expedition of new international markets.
• Increase in income from worldwide markets.
• Removal of issues associated with diversity.
• Profits diversity.
• Action towards being a strong global brand.

Cons:

• Loss of extensive revenues from the local markets.
• Boost in competition.
• Differences in cultures might resulted in a failure of the brand name particularly in Asian countries.
• Low revenues at preliminary levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Gateway: Implementing Innovative Strategies In The It Industry Case Analysis Stores

Alternative 2 includes the intro of online market locations through generating a proper company's website. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba etc. might posture a serious danger to the market share of company. Additionally, the rivals are moving towards click and Recommendations of Gateway: Implementing Innovative Strategies In The It Industry Case Help stores with Space introducing Piperline. This shift towards online markets might reduce the incomes for business. In this circumstance the business might think about introducing Click and Recommendations of Gateway: Implementing Innovative Strategies In The It Industry Case Solution shops. These stores with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic shops. The pros and cons of alternative 2 are given as follows;

Pros:

• Low investment
• Lowering competitors hazard
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Big Earnings
• Low Operating Costs
• Easy new market entryway

Cons:

• Hazard to the market position
• Elimination of brand Uniqueness
• Removal of the excellent shop experience.
• Threat of decrease in elite sales.

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

Another alternative that the business could think about, is to expand towards the international markets without closing its domestic shops that contributes to the major part of profits of the company. The benefits and drawbacks associated with Alternative 3 are offered listed below;

Pros:

• Minimizing competitors danger
• Access to the world markets
• Expanding consumer base
• Big Profits
• Exploration of new international markets.
• Boost in revenue from worldwide markets.
• Profits diversity.
• Step towards being a strong international brand.

Cons:

• Continuation of concerns connected to diversity.
• Differences in cultures could caused a failure of the brand name particularly in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenses to acquire market share.



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