Recommendations of Ondademar: Catching The Next Wave... Case Solution

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Recommendations of Ondademar: Catching The Next Wave... Case Study Solution

RecommendationsOn the basis of above internal and external analysis of the business along with the evaluation of numerous options, the company is advised to consider alternative 3. As alternative 3 would allow the company to expand in international markets with no reduction in its regional earnings and any deterioration of its market position. By considering Alternative 3, the business could keep its shop experience and brand name individuality. However, it could likewise think about alternative 2 that might permit the company to access the marketplaces with no possible investment. The business could pursue alternative 1 which would enable the company to focus on potential worldwide markets rather than the regional markets but as the company is highly reliant on the regional markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the significant decline in company's earnings. The business is suggested to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Ondademar: Catching The Next Wave... Case Help Stores

International SegmentsExpansion towards worldwide markets through opening brand-new stores in other Europe and Asian countries with closing domestic shops is although an excellent choice for increasing the international existence of the business. Nevertheless, the closing of domestic stores might extremely affect the revenues of the firm as above 90% of its shops are located domestically and closing those shops would ultimately decrease the incomes of the firm. Additionally, the business has a long term market position in United States which can not be produced quickly in the new markets. The alternative would assist the company to expand in worldwide markets together with the elimination of problems raised in its local markets related to its variety. The pros and Cons for Option 1 are noted below;

Pros:

• Exploration of new international markets.
• Boost in profits from international markets.
• Elimination of issues connected to variety.
• Profits diversity.
• Step towards being a strong global brand.

Cons:

• Loss of substantial profits from the regional markets.
• Boost in competitors.
• Differences in cultures could led to a failure of the brand particularly in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Ondademar: Catching The Next Wave... Case Analysis Stores

Alternative 2 includes the intro of online market locations through producing a proper company's site. With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. might present an extreme hazard to the market share of company. The rivals are moving towards click and Recommendations of Ondademar: Catching The Next Wave... Case Analysis shops with Gap presenting Piperline. This shift towards online markets might minimize the revenues for business. In this scenario the business could think about introducing Click and Recommendations of Ondademar: Catching The Next Wave... Case Help 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 shops. The pros and cons of alternative 2 are provided as follows;

Pros:

• Low financial investment
• Reducing competition risk
• Access to the world markets
• Expanding customer base
• Easy to handle
• Big Incomes
• Low Operating Expense
• Easy brand-new market entryway

Cons:

• Risk to the marketplace position
• Elimination of brand Originality
• Elimination of the terrific shop experience.
• Danger of decrease in elite sales.

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

Another alternative that the business could think about, is to expand towards the international markets without closing its domestic shops that contributes to the major part of revenues of the company. The benefits and drawbacks connected to Alternative 3 are provided listed below;

Pros:

• Decreasing competition danger
• Access to the world markets
• Enlarging customer base
• Big Profits
• Exploration of brand-new international markets.
• Increase in profits from international markets.
• Income diversification.
• Action towards being a strong international brand name.

Cons:

• Continuation of concerns associated with diversity.
• Distinctions in cultures could caused a failure of the brand name particularly in Asian countries.
• Low earnings at preliminary levels.
• Boost in marketing expenses to gain market share.



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