Recommendations of The Sociã©Tã© Gã©Nã©Rale Fiasco Lessons In Risk Management Case Help

Home >> Ibs Center For Management Research >> The Sociã©Tã© Gã©Nã©Rale Fiasco Lessons In Risk Management >> Recommendations

Recommendations of The Sociã©Tã© Gã©Nã©Rale Fiasco Lessons In Risk Management Case Study Analysis

On the basis of above internal and external analysis of the business together with the examination of various alternatives, the company is recommended to think about alternative 3. As alternative 3 would permit the company to expand in global markets with no decrease in its local revenues and any degeneration of its market position. By thinking about Alternative 3, the company might preserve its shop experience and brand name individuality. However, it could also consider alternative 2 that could permit the company to access the marketplaces with no potential financial investment. The company might pursue alternative 1 which would enable the company to focus on possible international markets rather than the local markets however as the business is extremely dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the considerable decrease in business's income. The company is recommended to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of The Sociã©Tã© Gã©Nã©Rale Fiasco Lessons In Risk Management Case Help Stores

Growth towards international markets through opening new shops in other Europe and Asian countries with closing domestic stores is although an excellent choice for increasing the international existence of the company. However, the closing of domestic shops might highly affect the profits of the firm as above 90% of its stores lie domestically and closing those shops would ultimately minimize the profits of the firm. The company has a long term market position in US which can not be generated quickly in the brand-new markets. The choice would help the company to broaden in global markets together with the elimination of problems raised in its local markets connected to its diversity. The pros and Cons for Option 1 are noted below;

Pros:

• Expedition of new global markets.
• Increase in profits from international markets.
• Elimination of problems associated with diversity.
• Revenue diversification.
• Step towards being a strong international brand.

Cons:

• Loss of comprehensive revenues from the local markets.
• Boost in competitors.
• Differences in cultures might caused a failure of the brand especially in Asian countries.
• Low revenues at preliminary levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of The Sociã©Tã© Gã©Nã©Rale Fiasco Lessons In Risk Management Case Help Stores

With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. could position a severe risk to the market share of business. In this scenario the company could think about introducing Click and Recommendations of The Sociã©Tã© Gã©Nã©Rale Fiasco Lessons In Risk Management Case Help shops. These shops with a low requirement of funds to settle would enable the business to reach worldwide markets, without ending its domestic shops.

Pros:

• Low investment
• Reducing competitors danger
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Incomes
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Elimination of brand Uniqueness
• Removal of the terrific store experience.
• Threat of decline in elite sales.

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

Another option that the business might consider, is to expand towards the worldwide markets without closing its domestic stores that contributes to the major part of revenues of the business. The pros and cons related to Alternative 3 are given listed below;

Pros:

• Reducing competition threat
• Access to the world markets
• Enlarging customer base
• Big Incomes
• Exploration of brand-new global markets.
• Increase in profits from international markets.
• Income diversification.
• Step towards being a strong international brand.

Cons:

• Continuation of issues connected to variety.
• Distinctions in cultures might resulted in a failure of the brand especially in Asian nations.
• Low earnings at initial levels.
• Boost in marketing expenses to get 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.