Recommendations of Googles Problems In China (B) Case Help

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Recommendations of Googles Problems In China (B) Case Study Help

RecommendationsOn the basis of above internal and external analysis of the company together with the assessment of various alternatives, the company is suggested to consider alternative 3. As alternative 3 would allow the company to broaden in worldwide markets with no decrease in its local profits and any deterioration of its market position. By thinking about Alternative 3, the business might preserve its store experience and brand uniqueness. It could also think about alternative 2 that might allow the business to access the markets without any potential investment. Although, the business could pursue alternative 1 which would make it possible for the company to focus on possible international markets rather than the regional markets but as the company is extremely based 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 business is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Googles Problems In China (B) Case Solution Stores

International SegmentsExpansion towards international markets through opening new stores in other Europe and Asian countries with closing domestic stores is although a good option for increasing the international presence of the company. The closing of domestic shops could highly impact the revenues of the company as above 90% of its shops are located domestically and closing those stores would eventually reduce the revenues of the company. The business has a long term market position in United States which can not be created soon in the new markets. The option would assist the company to expand in worldwide markets along with the removal of issues raised in its regional markets associated with its diversity. The benefits and drawbacks for Alternative 1 are noted below;

Pros:

• Exploration of brand-new global markets.
• Increase in revenue from worldwide markets.
• Removal of problems associated with diversity.
• Revenue diversification.
• Step towards being a strong international brand.

Cons:

• Loss of substantial incomes from the local markets.
• Increase in competitors.
• Distinctions in cultures might led to a failure of the brand particularly in Asian countries.
• Low earnings at initial levels.
• Boost in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of Googles Problems In China (B) Case Solution Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could position an extreme risk to the market share of company. In this circumstance the company could think about introducing Click and Recommendations of Googles Problems In China (B) Case Analysis shops. These shops with a low requirement of funds to settle would make it possible for the business to reach worldwide markets, without ending its domestic stores.

Pros:

• Low financial investment
• Lowering competition hazard
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Large Earnings
• Low Operating Costs
• Easy new market entrance

Cons:

• Threat to the market position
• Removal of brand name Originality
• Removal of the great store experience.
• Risk of decrease in elite sales.

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

Another alternative that the business might think about, is to broaden towards the worldwide markets without closing its domestic stores that adds to the huge part of profits of the business. The pros and cons associated with Alternative 3 are given below;

Pros:

• Decreasing competition danger
• Access to the world markets
• Expanding consumer base
• Large Incomes
• Exploration of brand-new global markets.
• Increase in profits from worldwide markets.
• Revenue diversity.
• Step towards being a strong global brand.

Cons:

• Extension of concerns related to variety.
• Distinctions in cultures could led to a failure of the brand specifically in Asian countries.
• Low incomes at initial levels.
• Increase in marketing expenditures to get market share.



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