Recommendations of Hr Restructuring At Lucent Technologies Case Solution
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Recommendations of Hr Restructuring At Lucent Technologies Case Study Analysis
On the basis of above internal and external analysis of the company along with the evaluation of various alternatives, the business is suggested to think about alternative 3. As alternative 3 would enable the business to expand in international markets without any decrease in its local profits and any deterioration of its market position. The business might pursue alternative 1 which would allow the business to focus on prospective worldwide markets rather than the regional markets but as the business is extremely reliant on the regional markets with 90% of its shops in the US, there fore pursuing alternative 1 would result in the considerable decline in business's earnings.
Aletrnative-1: Expanding International Brick and Recommendations of Hr Restructuring At Lucent Technologies Case Solution Stores
Expansion towards worldwide markets through opening new stores in other Europe and Asian countries with closing domestic stores is although a great alternative for increasing the international existence of the business. Nevertheless, the closing of domestic shops might extremely affect the revenues of the firm as above 90% of its shops lie domestically and closing those stores would eventually lower the earnings of the company. Moreover, the business has a long term market position in United States which can not be produced quickly in the brand-new markets. The alternative would assist the business to expand in international markets along with the elimination of problems raised in its regional markets associated with its diversity. The benefits and drawbacks for Option 1 are listed below;
Pros:
• Exploration of new worldwide markets.
• Increase in income from international markets.
• Elimination of problems connected to variety.
• Revenue diversification.
• Step towards being a strong global brand.
Cons:
• Loss of substantial earnings from the regional markets.
• Increase in competition.
• Distinctions in cultures might led to a failure of the brand name especially in Asian countries.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to acquire market share.
Alternative-2: Introduction of Click and Recommendations of Hr Restructuring At Lucent Technologies Case Analysis Stores
With the increased trends towards online shopping, the online stores like Amazon, Alibaba and so on might pose a severe risk to the market share of business. In this scenario the company might think about introducing Click and Recommendations of Hr Restructuring At Lucent Technologies Case Help shops. These shops with a low requirement of funds to settle would enable the business to reach international markets, without ending its domestic shops.
Pros:
• Low financial investment
• Decreasing competition risk
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Profits
• Low Operating Expense
• Easy new market entryway
Cons:
• Threat to the marketplace position
• Removal of brand name Individuality
• Elimination of the fantastic shop experience.
• Threat of decline in elite sales.
Alternative-3: Expansion towards International Markets Without closing Domestic Stores
Another choice that the company could consider, is to broaden towards the global markets without closing its domestic shops that contributes to the major part of profits of the business. The advantages and disadvantages connected to Alternative 3 are provided below;
Pros:
• Decreasing competitors hazard
• Access to the world markets
• Increasing the size of customer base
• Large Incomes
• Expedition of brand-new worldwide markets.
• Boost in earnings from global markets.
• Income diversity.
• Action towards being a strong international brand name.
Cons:
• Continuation of problems associated with diversity.
• Differences in cultures might resulted in a failure of the brand specifically in Asian nations.
• Low revenues at preliminary levels.
• Increase in marketing expenses to get market share.
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