Recommendations of Subhiksha An Indian Retailer In Trouble Case Analysis

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Recommendations of Subhiksha An Indian Retailer In Trouble Case Study Help

RecommendationsOn the basis of above internal and external analysis of the business along with the evaluation of various alternatives, the company is advised to think about alternative 3. As alternative 3 would permit the business to broaden in international markets without any reduction in its regional incomes and any wear and tear of its market position. The company might pursue alternative 1 which would make it possible for the company to focus on potential worldwide markets rather than the regional markets but as the company is highly reliant on the local markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the significant decline in business's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Subhiksha An Indian Retailer In Trouble Case Solution Stores

International SegmentsThe business has a long term market position in US which can not be created quickly in the brand-new markets. The choice would assist the company to expand in international markets along with the removal of concerns raised in its regional markets related to its diversity.

Pros:

• Expedition of new international markets.
• Increase in income from global markets.
• Elimination of concerns associated with variety.
• Income diversity.
• Action towards being a strong global brand.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Increase in competitors.
• Distinctions in cultures might resulted in a failure of the brand specifically in Asian countries.
• Low revenues at preliminary levels.
• Boost in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Subhiksha An Indian Retailer In Trouble Case Analysis Stores

Alternative 2 consists of the introduction of online market locations through generating an appropriate business's site. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on could posture a severe danger to the marketplace share of company. Additionally, the rivals are moving towards click and Recommendations of Subhiksha An Indian Retailer In Trouble Case Analysis shops with Space introducing Piperline. This shift towards online markets could reduce the profits for business. In this scenario the business could think about introducing Click and Recommendations of Subhiksha An Indian Retailer In Trouble Case Analysis shops. These stores with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic shops. The pros and cons of option 2 are given as follows;

Pros:

• Low financial investment
• Decreasing competition threat
• Access to the world markets
• Expanding customer base
• Easy to handle
• Big Earnings
• Low Operating Expense
• Easy new market entryway

Cons:

• Threat to the marketplace position
• Removal of brand name Individuality
• Elimination of the great shop experience.
• Risk of decrease in elite sales.

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

Another alternative that the company might think about, is to expand towards the global markets without closing its domestic shops that adds to the major part of profits of the company. The advantages and disadvantages associated with Alternative 3 are offered listed below;

Pros:

• Minimizing competitors threat
• Access to the world markets
• Expanding consumer base
• Large Earnings
• Expedition of brand-new international markets.
• Increase in profits from international markets.
• Profits diversification.
• Step towards being a strong international brand.

Cons:

• Continuation of concerns related to variety.
• Differences in cultures might caused a failure of the brand particularly in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenditures to get market share.



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