Recommendations of Maruti Udyog Limited The Pricing Dilemma Case Solution

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Recommendations of Maruti Udyog Limited The Pricing Dilemma Case Study Help

On the basis of above internal and external analysis of the business along with the examination of various options, the business is suggested to think about alternative 3. As alternative 3 would permit the company to expand in worldwide markets without any decrease in its local incomes and any wear and tear of its market position. The company might pursue alternative 1 which would enable the business to focus on prospective international markets rather than the local markets however as the company is extremely reliant on the regional markets with 90% of its shops in the US, there fore pursuing alternative 1 would result in the significant decline in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Maruti Udyog Limited The Pricing Dilemma Case Analysis Stores

The business has a long term market position in United States which can not be generated soon in the new markets. The alternative would help the business to broaden in global markets along with the removal of concerns raised in its local markets related to its diversity.

Pros:

• Expedition of new international markets.
• Boost in revenue from global markets.
• Removal of problems associated with diversity.
• Income diversity.
• Step towards being a strong international brand name.

Cons:

• Loss of substantial revenues from the local markets.
• Boost in competitors.
• Differences in cultures could led to a failure of the brand name especially in Asian nations.
• Low revenues at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Maruti Udyog Limited The Pricing Dilemma Case Solution Stores

Alternative 2 includes the introduction of online market places through producing a correct business's website. With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. might pose an extreme risk to the market share of company. The rivals are moving towards click and Recommendations of Maruti Udyog Limited The Pricing Dilemma Case Analysis stores with Space introducing Piperline. This shift towards online markets could reduce the incomes for business. In this circumstance the company might consider introducing Click and Recommendations of Maruti Udyog Limited The Pricing Dilemma 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. The advantages and disadvantages of option 2 are given as follows;

Pros:

• Low financial investment
• Minimizing competitors danger
• Access to the world markets
• Enlarging customer base
• Easy to handle
• Large Revenues
• Low Operating Expense
• Easy new market entrance

Cons:

• Risk to the marketplace position
• Removal of brand name Originality
• Elimination of the terrific shop experience.
• Risk of decline in elite sales.

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

Another choice that the company might think about, is to expand towards the global markets without closing its domestic shops that contributes to the major part of profits of the business. The advantages and disadvantages related to Alternative 3 are offered below;

Pros:

• Lowering competition threat
• Access to the world markets
• Increasing the size of consumer base
• Large Profits
• Exploration of new worldwide markets.
• Boost in income from international markets.
• Revenue diversity.
• Step towards being a strong worldwide brand.

Cons:

• Continuation of issues associated with diversity.
• Distinctions in cultures could led to a failure of the brand name particularly in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenditures to gain market share.



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