Recommendations of Smart Communications Inc (A) Case Help

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Recommendations of Smart Communications Inc (A) Case Study Help

RecommendationsOn the basis of above internal and external analysis of the company along with the assessment of numerous alternatives, the company is advised to think about alternative 3. As alternative 3 would allow the business to broaden in international markets without any reduction in its regional profits and any wear and tear of its market position. The business might pursue alternative 1 which would allow the business to focus on prospective worldwide markets rather than the local markets but as the business is extremely reliant on the local markets with 90% of its stores in the US, there fore pursuing option 1 would result in the significant decrease in business's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Smart Communications Inc (A) Case Solution Stores

International SegmentsThe company has a long term market position in United States which can not be created quickly in the new markets. The alternative would help the business to expand in worldwide markets along with the elimination of problems raised in its regional markets related to its variety.

Pros:

• Expedition of new global markets.
• Increase in revenue from worldwide markets.
• Removal of issues associated with diversity.
• Earnings diversity.
• Action towards being a strong international brand name.

Cons:

• Loss of substantial profits from the regional markets.
• Increase in competitors.
• Differences in cultures could led to a failure of the brand name specifically in Asian nations.
• Low profits at initial levels.
• Increase in marketing expenditures to gain market share.

Alternative-2: Introduction of Click and Recommendations of Smart Communications Inc (A) Case Solution Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on might posture a serious risk to the market share of business. In this scenario the business could consider presenting Click and Recommendations of Smart Communications Inc (A) Case Solution stores. These shops with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic shops.

Pros:

• Low financial investment
• Minimizing competition hazard
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Large Incomes
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Removal of brand Individuality
• Elimination of the fantastic 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 global markets without closing its domestic shops that adds to the major part of revenues of the company. The pros and cons connected to Alternative 3 are provided below;

Pros:

• Lowering competition hazard
• Access to the world markets
• Increasing the size of consumer base
• Large Earnings
• Expedition of new global markets.
• Boost in income from international markets.
• Earnings diversification.
• Action towards being a strong worldwide brand.

Cons:

• Extension of problems connected to variety.
• Distinctions in cultures could caused a failure of the brand particularly in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenditures to gain market share.



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