Recommendations of Twingtec Ag: Catching High Winds Case Analysis

Home >> Imd Business School >> Twingtec Ag: Catching High Winds >> Recommendations

Recommendations of Twingtec Ag: Catching High Winds Case Study Solution

RecommendationsOn the basis of above internal and external analysis of the company along with the evaluation of numerous alternatives, the company is recommended to consider alternative 3. As alternative 3 would enable the business to broaden in international markets without any decrease in its local profits and any degeneration of its market position. The business might pursue alternative 1 which would allow the business to focus on possible worldwide markets rather than the regional markets but as the business is extremely reliant on the local markets with 90% of its shops in the US, there fore pursuing option 1 would result in the significant decline in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Twingtec Ag: Catching High Winds Case Help Stores

International SegmentsGrowth towards international markets through opening new shops in other Europe and Asian countries with closing domestic stores is although a great choice for increasing the global presence of the business. The closing of domestic stores might highly affect the incomes of the firm as above 90% of its shops are located locally and closing those stores would ultimately lower the earnings of the firm. The company has a long term market position in United States which can not be created soon in the new markets. The option would assist the business to broaden in worldwide markets along with the elimination of concerns raised in its regional markets connected to its variety. The pros and Cons for Option 1 are listed below;

Pros:

• Expedition of new global markets.
• Boost in income from worldwide markets.
• Elimination of issues related to diversity.
• Income diversification.
• Action towards being a strong worldwide brand name.

Cons:

• Loss of extensive incomes from the local markets.
• Increase in competitors.
• Distinctions in cultures might led to a failure of the brand name specifically in Asian nations.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Twingtec Ag: Catching High Winds Case Help Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. could position a serious risk to the market share of business. In this circumstance the business could think about introducing Click and Recommendations of Twingtec Ag: Catching High Winds Case Solution stores. These shops with a low requirement of funds to settle would make it possible for the business to reach international markets, without ending its domestic shops.

Pros:

• Low financial investment
• Reducing competition danger
• Access to the world markets
• Increasing the size of consumer base
• Easy to handle
• Big Revenues
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Threat to the marketplace position
• Elimination of brand Uniqueness
• Elimination of the terrific shop experience.
• Threat of decline 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 adds to the huge part of profits of the company. The pros and cons related to Alternative 3 are offered listed below;

Pros:

• Reducing competition hazard
• Access to the world markets
• Enlarging consumer base
• Big Profits
• Expedition of new international markets.
• Boost in earnings from international markets.
• Profits diversification.
• Step towards being a strong global brand name.

Cons:

• Extension of concerns connected to diversity.
• Distinctions in cultures might resulted in a failure of the brand particularly in Asian countries.
• Low profits at preliminary levels.
• Increase in marketing expenditures to get 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.