Recommendations of The Aventis-Sanofi Merger - Role Of French Government Case Help

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Recommendations of The Aventis-Sanofi Merger - Role Of French Government Case Study Analysis

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

Aletrnative-1: Expanding International Brick and Recommendations of The Aventis-Sanofi Merger - Role Of French Government Case Help Stores

The business has a long term market position in United States which can not be generated quickly in the brand-new markets. The choice would help the business to broaden in global markets along with the elimination of issues raised in its local markets related to its variety.

Pros:

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

Cons:

• Loss of substantial earnings from the local markets.
• Increase in competitors.
• Differences in cultures might resulted in a failure of the brand name especially in Asian nations.
• Low profits at initial levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of The Aventis-Sanofi Merger - Role Of French Government Case Analysis Stores

With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. could position a serious threat to the market share of business. In this situation the business could consider introducing Click and Recommendations of The Aventis-Sanofi Merger - Role Of French Government Case Help shops. These stores with a low requirement of funds to settle would allow the business to reach global markets, without ending its domestic stores.

Pros:

• Low financial investment
• Lowering competition risk
• Access to the world markets
• Increasing the size of consumer base
• Easy to manage
• Big Incomes
• Low Operating Expense
• Easy brand-new market entryway

Cons:

• Risk to the market position
• Elimination of brand Originality
• Elimination of the fantastic store experience.
• Risk of decline in elite sales.

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

Another alternative that the business could consider, is to broaden towards the international markets without closing its domestic shops that contributes to the huge part of profits of the company. The pros and cons related to Alternative 3 are given below;

Pros:

• Decreasing competitors threat
• Access to the world markets
• Enlarging consumer base
• Big Revenues
• Expedition of brand-new international markets.
• Boost in income from international markets.
• Earnings diversification.
• Step towards being a strong international brand name.

Cons:

• Extension of problems related to variety.
• Distinctions in cultures could resulted in a failure of the brand name especially in Asian countries.
• Low profits at preliminary levels.
• Increase in marketing expenditures to gain market share.



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