Recommendations of Scm And Erp Software Implementation At Nike From Failure To Success Case Solution

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Recommendations of Scm And Erp Software Implementation At Nike From Failure To Success Case Study Analysis

On the basis of above internal and external analysis of the company along with the assessment of different options, the business is suggested to think about alternative 3. As alternative 3 would permit the company to expand in international markets without any decrease in its regional profits and any wear and tear of its market position. The company might pursue alternative 1 which would enable the business to focus on possible worldwide markets rather than the local markets but as the business is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the substantial decline in business's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Scm And Erp Software Implementation At Nike From Failure To Success Case Solution Stores

Expansion towards worldwide markets through opening new stores in other Europe and Asian nations with closing domestic shops is although a great alternative for increasing the global existence of the business. However, the closing of domestic stores could extremely impact the incomes of the company as above 90% of its stores are located domestically and closing those shops would ultimately reduce the profits of the company. Furthermore, the business has a long term market position in United States which can not be generated soon in the new markets. The alternative would assist the business to expand in worldwide markets together with the removal of problems raised in its local markets connected to its variety. The pros and Cons for Alternative 1 are listed below;

Pros:

• Expedition of new international markets.
• Increase in revenue from global markets.
• Removal of problems connected to variety.
• Earnings diversification.
• Step towards being a strong worldwide brand.

Cons:

• Loss of substantial revenues from the local markets.
• Boost in competitors.
• Differences in cultures might led to a failure of the brand name specifically in Asian countries.
• Low earnings at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Scm And Erp Software Implementation At Nike From Failure To Success Case Help Stores

With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. might posture an extreme threat to the market share of business. In this circumstance the company could consider presenting Click and Recommendations of Scm And Erp Software Implementation At Nike From Failure To Success Case Help stores. These shops with a low requirement of funds to settle would enable the business to reach worldwide markets, without ending its domestic stores.

Pros:

• Low investment
• Reducing competition hazard
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Big Revenues
• Low Operating Expense
• Easy new market entryway

Cons:

• Risk to the marketplace position
• Elimination of brand name Uniqueness
• Elimination of the fantastic store experience.
• Risk of decline in elite sales.

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

Another option that the business could think about, is to broaden towards the global markets without closing its domestic stores that adds to the major part of earnings of the company. The advantages and disadvantages related to Alternative 3 are offered listed below;

Pros:

• Reducing competitors threat
• Access to the world markets
• Increasing the size of consumer base
• Large Earnings
• Expedition of brand-new worldwide markets.
• Increase in profits from worldwide markets.
• Earnings diversification.
• Action towards being a strong global brand name.

Cons:

• Extension of problems associated with diversity.
• Differences in cultures might resulted in a failure of the brand name specifically in Asian nations.
• Low earnings at initial levels.
• Boost in marketing expenditures to gain market share.



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