Recommendations of It Outsourcing: The Gm Way Case Analysis

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Recommendations of It Outsourcing: The Gm Way Case Study Help

On the basis of above internal and external analysis of the business along with the assessment of numerous options, the business is recommended to consider alternative 3. As alternative 3 would allow the company to broaden in global markets without any reduction in its local profits and any wear and tear of its market position. By thinking about Alternative 3, the company might keep its shop experience and brand name uniqueness. Nevertheless, it could also think about alternative 2 that might allow the business to access the marketplaces without any potential investment. Although, the business could pursue alternative 1 which would enable the business to focus on prospective global markets instead of the regional markets however as the business is extremely depending on the regional markets with 90% of its shops in the United States, there fore pursuing option 1 would lead to the considerable decline in company's earnings. For that reason, the company is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of It Outsourcing: The Gm Way Case Help Stores

Growth towards international markets through opening new stores in other Europe and Asian countries with closing domestic shops is although a great alternative for increasing the worldwide existence of the company. However, the closing of domestic stores might highly affect the revenues of the firm as above 90% of its shops lie domestically and closing those shops would eventually minimize the revenues of the company. The business has a long term market position in US which can not be produced quickly in the new markets. The choice would help the company to expand in worldwide markets together with the elimination of issues raised in its regional markets associated with its variety. The advantages and disadvantages for Alternative 1 are listed below;

Pros:

• Exploration of new worldwide markets.
• Boost in earnings from worldwide markets.
• Removal of issues related to diversity.
• Revenue diversity.
• Action towards being a strong worldwide brand.

Cons:

• Loss of substantial profits from the regional markets.
• Boost in competitors.
• Differences in cultures could caused a failure of the brand name particularly in Asian nations.
• Low incomes at preliminary levels.
• Boost in marketing expenses to get market share.

Alternative-2: Introduction of Click and Recommendations of It Outsourcing: The Gm Way Case Help Stores

Alternative 2 includes the intro of online market locations through creating an appropriate company's website. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba etc. could posture an extreme risk to the market share of business. The rivals are moving towards click and Recommendations of It Outsourcing: The Gm Way Case Solution stores with Gap presenting Piperline. This shift towards online markets could lower the revenues for company. In this circumstance the business might think about introducing Click and Recommendations of It Outsourcing: The Gm Way Case Analysis shops. These stores with a low requirement of funds to settle would make it possible for the business to reach international markets, without ending its domestic stores. The advantages and disadvantages of alternative 2 are given as follows;

Pros:

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

Cons:

• Threat to the marketplace position
• Elimination of brand Individuality
• Removal of the great shop experience.
• Danger of decline in elite sales.

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

Another alternative that the company could consider, is to broaden towards the international markets without closing its domestic stores that contributes to the huge part of profits of the company. The benefits and drawbacks associated with Alternative 3 are provided below;

Pros:

• Decreasing competitors threat
• Access to the world markets
• Enlarging consumer base
• Large Incomes
• Exploration of brand-new international markets.
• Boost in earnings from international markets.
• Profits diversification.
• Action towards being a strong international brand name.

Cons:

• Extension of issues related to diversity.
• Distinctions in cultures could led to a failure of the brand particularly in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenses to acquire market share.



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