Recommendations of Celtel Nigeria Towards Serving The Rural Poor (B) Case Solution

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Recommendations of Celtel Nigeria Towards Serving The Rural Poor (B) Case Study Solution

On the basis of above internal and external analysis of the company along with the examination of different options, the business is suggested to consider alternative 3. As alternative 3 would allow the company to broaden in global markets without any decrease in its regional profits and any deterioration of its market position. The company could pursue alternative 1 which would enable the company to focus on potential international markets rather than the regional markets however as the company is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the substantial decline in business's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Celtel Nigeria Towards Serving The Rural Poor (B) Case Analysis Stores

Growth towards international markets through opening new stores in other Europe and Asian countries with closing domestic stores is although a good alternative for increasing the global existence of the business. The closing of domestic stores could highly affect the profits of the company as above 90% of its shops are located domestically and closing those shops would ultimately lower the profits of the firm. The company has a long term market position in United States which can not be generated soon in the brand-new markets. The alternative would assist the business to expand in worldwide markets in addition to the removal of problems raised in its local markets associated with its variety. The benefits and drawbacks for Option 1 are noted below;

Pros:

• Exploration of brand-new international markets.
• Boost in earnings from worldwide markets.
• Elimination of issues connected to diversity.
• Income diversity.
• Step towards being a strong international brand name.

Cons:

• Loss of comprehensive revenues from the local markets.
• Boost in competition.
• Distinctions in cultures could led to a failure of the brand especially in Asian countries.
• Low incomes at initial levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Celtel Nigeria Towards Serving The Rural Poor (B) Case Help Stores

Alternative 2 includes the intro of online market locations through creating a correct business's site. With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. might posture a severe risk to the market share of business. The competitors are shifting towards click and Recommendations of Celtel Nigeria Towards Serving The Rural Poor (B) Case Solution stores with Gap introducing Piperline. This shift towards online markets could lower the profits for company. In this situation the business might think about presenting Click and Recommendations of Celtel Nigeria Towards Serving The Rural Poor (B) Case Analysis shops. These stores with a low requirement of funds to settle would allow the business to reach global markets, without ending its domestic shops. The benefits and drawbacks of option 2 are provided as follows;

Pros:

• Low investment
• Reducing competition hazard
• Access to the world markets
• Increasing the size of consumer base
• Easy to manage
• Large Incomes
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Threat to the marketplace position
• Elimination of brand name Uniqueness
• Removal of the terrific shop experience.
• Threat of decrease in elite sales.

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

Another alternative that the business might consider, is to broaden towards the worldwide markets without closing its domestic stores that adds to the huge part of revenues of the business. The advantages and disadvantages connected to Alternative 3 are provided below;

Pros:

• Reducing competitors threat
• Access to the world markets
• Enlarging customer base
• Big Profits
• Exploration of new worldwide markets.
• Increase in earnings from international markets.
• Income diversification.
• Action towards being a strong worldwide brand.

Cons:

• Extension of concerns connected to diversity.
• Differences in cultures might led to a failure of the brand name especially in Asian nations.
• Low revenues at preliminary levels.
• Increase in marketing expenses to get market share.



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