Recommendations of Kipling: Corporate Videos And Interview With Paul Van De Velde (Abridged) Case Help

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Recommendations of Kipling: Corporate Videos And Interview With Paul Van De Velde (Abridged) Case Study Analysis

On the basis of above internal and external analysis of the business along with the evaluation of different options, the company is suggested to consider alternative 3. As alternative 3 would allow the business to broaden in worldwide markets without any decrease in its regional revenues and any deterioration of its market position. The business could pursue alternative 1 which would make it possible for the business to focus on potential global markets rather than the regional markets however 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 considerable decrease in company's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Kipling: Corporate Videos And Interview With Paul Van De Velde (Abridged) Case Solution Stores

Expansion towards worldwide markets through opening new shops in other Europe and Asian countries with closing domestic stores is although an excellent choice for increasing the worldwide presence of the company. Nevertheless, the closing of domestic stores might highly impact the revenues of the company as above 90% of its shops lie domestically and closing those stores would ultimately lower the revenues of the company. The company has a long term market position in US which can not be created soon in the new markets. The choice would help the business to expand in worldwide markets in addition to the elimination of concerns raised in its regional markets related to its variety. The pros and Cons for Alternative 1 are noted below;

Pros:

• Expedition of new global markets.
• Boost in income from worldwide markets.
• Removal of concerns related to diversity.
• Profits diversification.
• Action towards being a strong global brand name.

Cons:

• Loss of substantial revenues from the regional markets.
• Boost in competition.
• Distinctions in cultures might led to a failure of the brand name especially in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Kipling: Corporate Videos And Interview With Paul Van De Velde (Abridged) Case Analysis Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on could position an extreme risk to the market share of business. In this scenario the company could consider introducing Click and Recommendations of Kipling: Corporate Videos And Interview With Paul Van De Velde (Abridged) Case Analysis shops. These shops with a low requirement of funds to settle would make it possible for the company to reach global markets, without ending its domestic stores.

Pros:

• Low investment
• Decreasing competition hazard
• Access to the world markets
• Increasing the size of customer base
• Easy to manage
• Big Profits
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Hazard to the marketplace position
• Removal of brand name Uniqueness
• Elimination of the great store experience.
• Risk of decrease in elite sales.

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

Another choice that the company might think about, is to expand towards the international markets without closing its domestic stores that contributes to the major part of earnings of the company. The pros and cons associated with Alternative 3 are offered listed below;

Pros:

• Minimizing competitors hazard
• Access to the world markets
• Increasing the size of customer base
• Big Revenues
• Exploration of new global markets.
• Increase in income from global markets.
• Revenue diversification.
• Action towards being a strong worldwide brand.

Cons:

• Extension of problems related to diversity.
• Differences in cultures might led to a failure of the brand especially in Asian countries.
• Low profits at preliminary levels.
• Increase in marketing expenses to acquire market share.



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