Recommendations of Governance And Control At Axa Case Solution

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Recommendations of Governance And Control At Axa Case Study Solution

On the basis of above internal and external analysis of the business along with the examination of various alternatives, the business is advised to think about alternative 3. As alternative 3 would permit the company to expand in international markets with no reduction in its local revenues and any deterioration of its market position. By considering Alternative 3, the company might preserve its shop experience and brand originality. It might likewise think about alternative 2 that could allow the company to access the markets without any potential investment. The business might pursue alternative 1 which would allow the company to focus on potential international markets rather than the local markets however as the company is highly reliant on the local markets with 90% of its stores in the United States, there fore pursuing option 1 would result in the substantial decline in business's earnings. For that reason, the business is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Governance And Control At Axa Case Help Stores

Expansion towards global markets through opening new stores in other Europe and Asian countries with closing domestic stores is although a great option for increasing the global presence of the business. However, the closing of domestic stores might highly impact the incomes of the company as above 90% of its stores are located locally and closing those shops would eventually minimize the earnings of the firm. Furthermore, the business has a long term market position in United States which can not be created quickly in the brand-new markets. The option would help the business to expand in global markets together with the removal of problems raised in its local markets connected to its variety. The pros and Cons for Option 1 are listed below;

Pros:

• Expedition of brand-new international markets.
• Boost in earnings from worldwide markets.
• Removal of issues associated with variety.
• Profits diversification.
• Action towards being a strong international brand.

Cons:

• Loss of substantial profits from the regional markets.
• Boost in competitors.
• Differences in cultures might caused a failure of the brand specifically in Asian nations.
• Low profits at initial levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Governance And Control At Axa Case Solution Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on could present a severe hazard to the market share of business. In this situation the company might consider presenting Click and Recommendations of Governance And Control At Axa 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 investment
• Minimizing competition danger
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Large Revenues
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Threat to the market position
• Removal of brand name Uniqueness
• Removal of the fantastic store experience.
• Danger of decline 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 worldwide markets without closing its domestic shops that adds to the major part of incomes of the business. The pros and cons connected to Alternative 3 are given listed below;

Pros:

• Decreasing competition hazard
• Access to the world markets
• Enlarging customer base
• Large Incomes
• Exploration of new worldwide markets.
• Boost in revenue from worldwide markets.
• Earnings diversification.
• Step towards being a strong worldwide brand.

Cons:

• Continuation of issues connected to diversity.
• Distinctions in cultures might caused a failure of the brand name especially in Asian countries.
• Low profits at initial levels.
• Boost in marketing expenses to get market share.



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