Recommendations of Optimus Portugal A Strategy For 3g Broadband Case Analysis

Home >> London Business School >> Optimus Portugal A Strategy For 3g Broadband >> Recommendations

Recommendations of Optimus Portugal A Strategy For 3g Broadband Case Study Solution

RecommendationsOn the basis of above internal and external analysis of the company along with the assessment of various options, the company is suggested to consider alternative 3. As alternative 3 would enable the business to broaden in global markets without any reduction in its regional revenues and any deterioration of its market position. By considering Alternative 3, the company could maintain its store experience and brand name uniqueness. It might also think about alternative 2 that might allow the business to access the markets without any possible investment. Although, the company could pursue alternative 1 which would allow the company to focus on possible global markets rather than the regional markets but as the business is extremely depending on the local markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the substantial decrease in business's earnings. The business is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Optimus Portugal A Strategy For 3g Broadband 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 worldwide presence of the company. However, the closing of domestic shops could extremely affect the profits of the firm as above 90% of its shops are located domestically and closing those stores would ultimately decrease the revenues of the company. Furthermore, the company has a long term market position in United States which can not be created soon in the brand-new markets. The alternative would help the business to expand in worldwide markets along with the removal of problems raised in its regional markets associated with its diversity. The benefits and drawbacks for Alternative 1 are listed below;

Pros:

• Exploration of new international markets.
• Increase in income from global markets.
• Removal of concerns related to diversity.
• Income diversity.
• Step towards being a strong global brand.

Cons:

• Loss of comprehensive profits from the local markets.
• Increase in competitors.
• Differences in cultures might resulted in a failure of the brand specifically in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Optimus Portugal A Strategy For 3g Broadband Case Help Stores

Alternative 2 includes the introduction of online market places through creating an appropriate business's website. With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could present an extreme threat to the marketplace share of business. The rivals are shifting towards click and Recommendations of Optimus Portugal A Strategy For 3g Broadband Case Help stores with Space presenting Piperline. This shift towards online markets could reduce the earnings for business. In this situation the business might consider introducing Click and Recommendations of Optimus Portugal A Strategy For 3g Broadband Case Analysis stores. These shops with a low requirement of funds to settle would make it possible for the business to reach worldwide markets, without ending its domestic shops. The advantages and disadvantages of option 2 are given as follows;

Pros:

• Low financial investment
• Minimizing competitors risk
• Access to the world markets
• Increasing the size of customer base
• Easy to handle
• Big Incomes
• Low Operating Expense
• Easy new market entrance

Cons:

• Danger to the marketplace position
• Removal of brand Individuality
• Elimination 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 could consider, is to expand towards the worldwide markets without closing its domestic shops that adds to the huge part of revenues of the company. The pros and cons related to Alternative 3 are provided listed below;

Pros:

• Decreasing competitors risk
• Access to the world markets
• Enlarging customer base
• Big Profits
• Exploration of brand-new international markets.
• Boost in revenue from global markets.
• Profits diversification.
• Step towards being a strong worldwide brand.

Cons:

• Extension of issues related to variety.
• Distinctions in cultures might resulted in a failure of the brand name 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.