Recommendations of Gcmmfs Cooperative Structure Case Help

Home >> Ibs Center For Management Research >> Gcmmfs Cooperative Structure >> Recommendations

Recommendations of Gcmmfs Cooperative Structure Case Study Analysis

On the basis of above internal and external analysis of the company along with the assessment of various options, the business is recommended to consider alternative 3. As alternative 3 would permit the business to broaden in worldwide markets with no reduction in its local profits and any wear and tear of its market position. By considering Alternative 3, the company might preserve its shop experience and brand name uniqueness. It might likewise consider alternative 2 that could allow the company to access the markets without any possible investment. The business might pursue alternative 1 which would allow the business to focus on possible global markets rather than the local markets but as the company is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the significant decline in business's income. The business is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Gcmmfs Cooperative Structure Case Help Stores

Expansion towards global markets through opening new shops in other Europe and Asian countries with closing domestic shops is although a good choice for increasing the worldwide presence of the business. However, the closing of domestic stores might highly affect the earnings of the firm as above 90% of its stores are located locally and closing those shops would ultimately decrease the earnings of the company. The business has a long term market position in United States which can not be produced soon in the new markets. The choice would help the business to expand in international markets in addition to the removal of concerns raised in its local markets connected to its diversity. The benefits and drawbacks for Option 1 are noted below;

Pros:

• Expedition of new global markets.
• Boost in income from international markets.
• Elimination of concerns connected to variety.
• Earnings diversity.
• Step towards being a strong international brand name.

Cons:

• Loss of substantial earnings from the regional markets.
• Boost in competitors.
• Differences in cultures could caused a failure of the brand especially in Asian nations.
• Low profits at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Gcmmfs Cooperative Structure Case Analysis Stores

Alternative 2 consists of the introduction of online market places through producing a proper company's site. With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. might present a serious danger to the marketplace share of business. Additionally, the competitors are moving towards click and Recommendations of Gcmmfs Cooperative Structure Case Analysis shops with Gap introducing Piperline. This shift towards online markets might decrease the earnings for company. In this scenario the business might consider introducing Click and Recommendations of Gcmmfs Cooperative Structure Case Solution stores. These stores with a low requirement of funds to settle would enable the business to reach global markets, without ending its domestic stores. The advantages and disadvantages of alternative 2 are offered as follows;

Pros:

• Low financial investment
• Lowering competition risk
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Earnings
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Threat to the market position
• Removal of brand name Uniqueness
• Elimination of the great store experience.
• Danger of decrease in elite sales.

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

Another choice that the company could consider, is to expand towards the international markets without closing its domestic stores that contributes to the huge part of earnings of the company. The pros and cons connected to Alternative 3 are offered listed below;

Pros:

• Minimizing competitors hazard
• Access to the world markets
• Increasing the size of customer base
• Big Incomes
• Exploration of brand-new worldwide markets.
• Increase in earnings from international markets.
• Revenue diversity.
• Step towards being a strong international brand name.

Cons:

• Extension of problems associated with variety.
• Distinctions in cultures might caused a failure of the brand particularly in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenditures to acquire market share.



This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.