Recommendations of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Help

Home >> Imd Business School >> Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) >> Recommendations

Recommendations of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Study Analysis

On the basis of above internal and external analysis of the business along with the evaluation of numerous alternatives, the company is recommended to consider alternative 3. As alternative 3 would allow the company to broaden in global markets without any decrease in its local earnings and any degeneration of its market position. The business could pursue alternative 1 which would allow the company to focus on potential worldwide markets rather than the local markets but as the business is extremely dependent on the regional markets with 90% of its shops in the US, there fore pursuing option 1 would result in the considerable decrease in business's income.

Aletrnative-1: Expanding International Brick and Recommendations of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Analysis Stores

The company has a long term market position in United States which can not be created quickly in the new markets. The choice would help the company to expand in international markets along with the elimination of issues raised in its local markets related to its diversity.

Pros:

• Exploration of brand-new global markets.
• Increase in profits from worldwide markets.
• Elimination of concerns connected to variety.
• Profits diversification.
• Action towards being a strong global brand.

Cons:

• Loss of extensive revenues from the regional markets.
• Boost in competitors.
• Distinctions in cultures could resulted in a failure of the brand especially in Asian nations.
• Low revenues at preliminary levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Help Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could posture a severe risk to the market share of company. In this situation the business could consider presenting Click and Recommendations of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Help stores. These stores with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic shops.

Pros:

• Low investment
• Decreasing competition risk
• Access to the world markets
• Expanding consumer base
• Easy to manage
• Large Revenues
• Low Operating Expense
• Easy brand-new market entryway

Cons:

• Danger to the marketplace position
• Removal of brand Originality
• Elimination of the fantastic store experience.
• Risk of decrease in elite sales.

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

Another choice that the company could consider, is to expand towards the international markets without closing its domestic shops that contributes to the huge part of profits of the business. The advantages and disadvantages associated with Alternative 3 are given listed below;

Pros:

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

Cons:

• Continuation of problems connected to variety.
• Differences in cultures could led to a failure of the brand name especially in Asian countries.
• Low profits at initial levels.
• Increase in marketing expenses to gain 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.