Recommendations of British Airways A Journey In Procurement Transformation Case Analysis
Home >> London Business School >> British Airways A Journey In Procurement Transformation >> Recommendations
Recommendations of British Airways A Journey In Procurement Transformation Case Study Analysis
On the basis of above internal and external analysis of the company together with the evaluation of various alternatives, the company is advised to think about alternative 3. As alternative 3 would permit the business to broaden in global markets with no reduction in its local incomes and any wear and tear of its market position. By considering Alternative 3, the business could maintain its store experience and brand individuality. Nevertheless, it might likewise think about alternative 2 that might enable the company to access the markets without any potential investment. Although, the business could pursue alternative 1 which would enable the business to focus on possible international markets instead of the local markets however as the company is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the considerable decrease in company's earnings. Therefore, the company is recommended to think about alternative 3.
Aletrnative-1: Expanding International Brick and Recommendations of British Airways A Journey In Procurement Transformation Case Solution Stores
Growth towards global markets through opening new shops in other Europe and Asian nations with closing domestic stores is although a good choice for increasing the international presence of the business. The closing of domestic shops could extremely affect the earnings of the company as above 90% of its stores are located domestically and closing those stores would ultimately minimize the incomes of the company. Additionally, the business has a long term market position in US which can not be produced soon in the new markets. The alternative would help the company to expand in global markets along with the elimination of concerns raised in its regional markets related to its diversity. The advantages and disadvantages for Alternative 1 are listed below;
Pros:
• Expedition of new global markets.
• Boost in income from global markets.
• Elimination of problems connected to variety.
• Income diversification.
• Step towards being a strong worldwide brand name.
Cons:
• Loss of extensive profits from the regional markets.
• Increase in competition.
• Distinctions in cultures might resulted in a failure of the brand particularly in Asian countries.
• Low incomes at initial levels.
• Increase in marketing expenses to acquire market share.
Alternative-2: Introduction of Click and Recommendations of British Airways A Journey In Procurement Transformation Case Help Stores
Alternative 2 includes the intro of online market locations through creating a correct company's site. With the increased trends towards online shopping, the online stores like Amazon, Alibaba and so on could present a severe threat to the marketplace share of company. Moreover, the competitors are moving towards click and Recommendations of British Airways A Journey In Procurement Transformation Case Help stores with Gap introducing Piperline. This shift towards online markets could minimize the incomes for business. In this scenario the business could think about presenting Click and Recommendations of British Airways A Journey In Procurement Transformation Case Solution stores. These shops with a low requirement of funds to settle would enable the company to reach international markets, without ending its domestic shops. The pros and cons of alternative 2 are provided as follows;
Pros:
• Low financial investment
• Reducing competitors danger
• Access to the world markets
• Increasing the size of consumer base
• Easy to manage
• Big Incomes
• Low Operating Costs
• Easy brand-new market entrance
Cons:
• Risk to the market position
• Removal of brand name Individuality
• Removal of the terrific store experience.
• Threat of decrease in elite sales.
Alternative-3: Expansion towards International Markets Without closing Domestic Stores
Another choice that the business might consider, is to broaden towards the worldwide markets without closing its domestic shops that contributes to the huge part of incomes of the company. The pros and cons connected to Alternative 3 are given listed below;
Pros:
• Minimizing competitors danger
• Access to the world markets
• Increasing the size of customer base
• Big Revenues
• Expedition of new worldwide markets.
• Boost in profits from global markets.
• Income diversification.
• Step towards being a strong global brand.
Cons:
• Continuation of concerns related to diversity.
• Differences in cultures could led to a failure of the brand especially in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenses to gain 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.