Recommendations of Lorã©Al In China Case Solution

Home >> Ibs Center For Management Research >> Lorã©Al In China >> Recommendations

Recommendations of Lorã©Al In China Case Study Help

On the basis of above internal and external analysis of the company along with the examination of different alternatives, the business is advised to think about alternative 3. As alternative 3 would enable the business to expand in worldwide markets without any reduction in its local incomes and any deterioration of its market position. The company could pursue alternative 1 which would enable the company to focus on prospective international markets rather than the regional markets but as the business is highly dependent on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the substantial decrease in company's income.

Aletrnative-1: Expanding International Brick and Recommendations of Lorã©Al In China Case Solution Stores

The business has a long term market position in United States which can not be produced soon in the new markets. The option would assist the business to broaden in international markets along with the removal of concerns raised in its regional markets related to its diversity.

Pros:

• Exploration of new global markets.
• Boost in profits from worldwide markets.
• Removal of concerns associated with diversity.
• Income diversity.
• Step towards being a strong global brand name.

Cons:

• Loss of extensive profits from the regional markets.
• Increase in competition.
• Distinctions in cultures could resulted in a failure of the brand specifically in Asian countries.
• Low earnings at initial levels.
• Boost in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Lorã©Al In China Case Solution Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on could pose an extreme danger to the market share of company. In this circumstance the company might consider presenting Click and Recommendations of Lorã©Al In China Case Help stores. These stores with a low requirement of funds to settle would allow the company to reach worldwide markets, without ending its domestic shops.

Pros:

• Low investment
• Minimizing competition hazard
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Large Earnings
• Low Operating Costs
• Easy new market entryway

Cons:

• Risk to the marketplace position
• Elimination of brand name Originality
• Elimination of the terrific store experience.
• Risk of decrease in elite sales.

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

Another option that the business might think about, is to broaden towards the international markets without closing its domestic stores that contributes to the huge part of revenues of the company. The benefits and drawbacks associated with Alternative 3 are offered listed below;

Pros:

• Minimizing competitors threat
• Access to the world markets
• Enlarging consumer base
• Big Profits
• Exploration of brand-new global markets.
• Boost in profits from international markets.
• Earnings diversification.
• Action towards being a strong worldwide brand name.

Cons:

• Extension of concerns associated with diversity.
• Differences in cultures could caused a failure of the brand name particularly in Asian countries.
• Low incomes at initial levels.
• Increase in marketing expenses to gain 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.