Recommendations of The Castiglioni Family And Mv Agusta: Motorcycle Art Case Solution

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Recommendations of The Castiglioni Family And Mv Agusta: Motorcycle Art Case Study Help

On the basis of above internal and external analysis of the business along with the assessment of numerous options, the company is suggested to consider alternative 3. As alternative 3 would permit the company to expand in international markets without any reduction in its local incomes and any deterioration of its market position. The business could pursue alternative 1 which would enable the business to focus on potential international markets rather than the local markets but as the business is extremely reliant on the local markets with 90% of its stores in the United States, there fore pursuing option 1 would result in the substantial decline in company's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of The Castiglioni Family And Mv Agusta: Motorcycle Art Case Solution Stores

The company has a long term market position in United States which can not be produced quickly in the brand-new markets. The choice would help the business to expand in international markets along with the elimination of concerns raised in its local markets related to its variety.

Pros:

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

Cons:

• Loss of comprehensive profits from the regional markets.
• Boost in competition.
• Distinctions in cultures could resulted in a failure of the brand name particularly in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of The Castiglioni Family And Mv Agusta: Motorcycle Art Case Analysis Stores

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

Pros:

• Low financial investment
• Reducing competition threat
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Large Earnings
• Low Operating Costs
• Easy new market entryway

Cons:

• Threat to the market position
• Removal of brand name Originality
• Removal of the terrific store experience.
• Risk of decrease in elite sales.

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

Another choice that the business could consider, is to expand towards the global markets without closing its domestic stores that contributes to the major part of revenues of the business. The advantages and disadvantages associated with Alternative 3 are provided below;

Pros:

• Reducing competition danger
• Access to the world markets
• Expanding consumer base
• Big Incomes
• Expedition of brand-new global markets.
• Boost in revenue from global markets.
• Income diversity.
• Action towards being a strong global brand name.

Cons:

• Extension of problems related to diversity.
• Differences in cultures could caused a failure of the brand name specifically in Asian nations.
• Low profits at initial levels.
• Increase in marketing expenditures to acquire market share.



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