Recommendations of Mv Agusta: Motorcycle Art Case Help

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Recommendations of Mv Agusta: Motorcycle Art Case Study Analysis

RecommendationsOn the basis of above internal and external analysis of the business along with the assessment of various options, the company is advised to think about alternative 3. As alternative 3 would allow the business to expand in worldwide markets with no decrease in its local earnings and any deterioration of its market position. By considering Alternative 3, the company could maintain its store experience and brand name individuality. Nevertheless, it might also think about alternative 2 that might allow the company to access the markets without any potential financial investment. Although, the business might pursue alternative 1 which would allow the company to focus on possible international markets rather than the regional markets however as the business is highly depending on the local markets with 90% of its shops in the United States, there fore pursuing alternative 1 would lead to the significant decline in company's profits. Therefore, the business is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Mv Agusta: Motorcycle Art Case Analysis Stores

International SegmentsExpansion towards international markets through opening new stores in other Europe and Asian nations with closing domestic shops is although an excellent alternative for increasing the global existence of the company. Nevertheless, the closing of domestic stores could highly impact the revenues of the company as above 90% of its shops lie domestically and closing those stores would ultimately reduce the profits of the firm. Moreover, the company has a long term market position in US which can not be created quickly in the brand-new markets. The choice would assist the business to broaden in international markets along with the elimination of issues raised in its local markets connected to its variety. The advantages and disadvantages for Option 1 are listed below;

Pros:

• Expedition of brand-new international markets.
• Increase in income from international markets.
• Removal of problems connected to variety.
• Income diversification.
• Step towards being a strong international brand name.

Cons:

• Loss of comprehensive revenues from the regional markets.
• Increase in competition.
• Distinctions in cultures might resulted in a failure of the brand especially in Asian nations.
• Low revenues at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Mv Agusta: Motorcycle Art Case Help Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might present an extreme risk to the market share of company. In this situation the business could think about introducing Click and Recommendations of Mv Agusta: Motorcycle Art Case Help stores. These stores with a low requirement of funds to settle would make it possible for the company to reach international markets, without ending its domestic stores.

Pros:

• Low financial investment
• Minimizing competition hazard
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Large Earnings
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the marketplace position
• Removal of brand name Originality
• Elimination of the excellent shop experience.
• Threat of decrease in elite sales.

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

Another option that the company might think about, is to broaden towards the worldwide markets without closing its domestic stores that contributes to the huge part of revenues of the business. The advantages and disadvantages connected to Alternative 3 are offered listed below;

Pros:

• Reducing competitors risk
• Access to the world markets
• Increasing the size of customer base
• Big Revenues
• Exploration of new international markets.
• Increase in earnings from worldwide markets.
• Income diversity.
• Action towards being a strong global brand.

Cons:

• Continuation of problems associated with variety.
• Differences in cultures could led to a failure of the brand especially in Asian countries.
• Low incomes at initial levels.
• Boost in marketing expenses to acquire market share.



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