Recommendations of Optimus Portugal Letting The Kanguru Out Of The Bag (B) Case Analysis

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Recommendations of Optimus Portugal Letting The Kanguru Out Of The Bag (B) Case Study Solution

On the basis of above internal and external analysis of the company along with the evaluation of numerous alternatives, the company is advised to consider alternative 3. As alternative 3 would permit the business to expand in international markets without any decrease in its regional earnings and any deterioration of its market position. The company could pursue alternative 1 which would allow the business to focus on prospective worldwide markets rather than the regional markets but as the business is highly dependent on the regional markets with 90% of its stores in the US, there fore pursuing option 1 would result in the considerable decline in business's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Optimus Portugal Letting The Kanguru Out Of The Bag (B) Case Analysis Stores

The business has a long term market position in US which can not be created quickly in the new markets. The option would assist the company to broaden in global markets along with the removal of concerns raised in its local markets related to its diversity.

Pros:

• Expedition of brand-new international markets.
• Increase in earnings from international markets.
• Removal of problems related to diversity.
• Earnings diversity.
• Step towards being a strong global brand name.

Cons:

• Loss of extensive incomes from the local markets.
• Increase in competitors.
• Differences in cultures could resulted in a failure of the brand specifically in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of Optimus Portugal Letting The Kanguru Out Of The Bag (B) Case Analysis Stores

Alternative 2 includes the intro of online market locations through creating an appropriate business's website. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on could pose a severe hazard to the market share of company. The rivals are moving towards click and Recommendations of Optimus Portugal Letting The Kanguru Out Of The Bag (B) Case Help shops with Gap introducing Piperline. This shift towards online markets might decrease the earnings for business. In this scenario the business could consider presenting Click and Recommendations of Optimus Portugal Letting The Kanguru Out Of The Bag (B) Case Help stores. These shops with a low requirement of funds to settle would allow the business to reach worldwide markets, without ending its domestic stores. The pros and cons of alternative 2 are provided as follows;

Pros:

• Low investment
• Minimizing competition threat
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Big Profits
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the marketplace position
• Elimination of brand name Uniqueness
• Removal of the fantastic store experience.
• Risk of decrease in elite sales.

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

Another option that the business could consider, is to broaden towards the international markets without closing its domestic stores that contributes to the huge part of earnings of the business. The advantages and disadvantages connected to Alternative 3 are given listed below;

Pros:

• Lowering competitors threat
• Access to the world markets
• Expanding consumer base
• Large Incomes
• Expedition of brand-new worldwide markets.
• Increase in earnings from international markets.
• Earnings diversity.
• Step towards being a strong global brand name.

Cons:

• Continuation of problems connected to diversity.
• Differences in cultures might resulted in a failure of the brand specifically in Asian nations.
• Low earnings at initial levels.
• Boost in marketing expenses to gain market share.



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