Recommendations of Deutsche Telekom: A Transformation Journey Case Help

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Recommendations of Deutsche Telekom: A Transformation Journey Case Study Solution

On the basis of above internal and external analysis of the business along with the examination of various alternatives, the company is advised to consider alternative 3. As alternative 3 would allow the business to broaden in worldwide markets without any reduction in its local profits and any deterioration of its market position. By thinking about Alternative 3, the business could preserve its shop experience and brand individuality. It might also consider alternative 2 that might enable the business to access the markets without any potential financial investment. The business might pursue alternative 1 which would make it possible for the company to focus on prospective global markets rather than the local markets but as the company is extremely reliant on the local markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the considerable decline in company's income. For that reason, the company is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Deutsche Telekom: A Transformation Journey Case Solution Stores

The company has a long term market position in United States which can not be produced soon in the new markets. The choice would help the company to expand in global markets along with the removal of concerns raised in its regional markets related to its diversity.

Pros:

• Expedition of brand-new global markets.
• Increase in revenue from global markets.
• Elimination of problems associated with diversity.
• Revenue diversity.
• Action towards being a strong international brand.

Cons:

• Loss of extensive incomes from the regional markets.
• Increase in competitors.
• Differences in cultures could caused a failure of the brand name particularly in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenses to get market share.

Alternative-2: Introduction of Click and Recommendations of Deutsche Telekom: A Transformation Journey Case Solution Stores

Alternative 2 consists of the intro of online market places through generating a proper company's site. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on could present a serious threat to the marketplace share of business. The rivals are moving towards click and Recommendations of Deutsche Telekom: A Transformation Journey Case Analysis stores with Space introducing Piperline. This shift towards online markets could decrease the incomes for business. In this scenario the company could think about presenting Click and Recommendations of Deutsche Telekom: A Transformation Journey Case Analysis stores. These shops with a low requirement of funds to settle would enable the company to reach international markets, without ending its domestic stores. The benefits and drawbacks of option 2 are provided as follows;

Pros:

• Low financial investment
• Reducing competition threat
• Access to the world markets
• Expanding customer base
• Easy to handle
• Large Earnings
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Hazard to the marketplace position
• Elimination of brand name Originality
• Elimination of the terrific store experience.
• Risk of decrease in elite sales.

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

Another option that the business might consider, is to broaden towards the international markets without closing its domestic stores that adds to the major part of revenues of the company. The benefits and drawbacks connected to Alternative 3 are given listed below;

Pros:

• Minimizing competitors hazard
• Access to the world markets
• Enlarging customer base
• Large Incomes
• Exploration of brand-new global markets.
• Boost in earnings from worldwide markets.
• Profits diversity.
• Step towards being a strong global brand.

Cons:

• Extension of issues associated with diversity.
• Distinctions in cultures might caused a failure of the brand especially in Asian nations.
• Low profits at initial levels.
• Boost in marketing expenditures to gain market share.



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