Recommendations of Smart Communications Inc (B) Case Analysis

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Recommendations of Smart Communications Inc (B) Case Study Analysis

On the basis of above internal and external analysis of the business along with the examination of different alternatives, the business is advised to consider alternative 3. As alternative 3 would allow the business to expand in international markets without any decrease in its local profits and any deterioration of its market position. The business could pursue alternative 1 which would allow the business to focus on possible global markets rather than the regional markets but as the business is extremely reliant on the regional markets with 90% of its stores in the US, there fore pursuing option 1 would result in the substantial decline in company's income.

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

The company has a long term market position in United States which can not be generated quickly in the new markets. The choice would help the business to broaden in worldwide markets along with the removal of problems raised in its local markets related to its variety.

Pros:

• Expedition of brand-new international markets.
• Boost in income from international markets.
• Elimination of problems connected to variety.
• Profits diversification.
• Step towards being a strong international brand name.

Cons:

• Loss of substantial profits from the regional markets.
• Boost in competition.
• Differences in cultures could resulted in a failure of the brand name especially in Asian countries.
• Low profits at preliminary levels.
• Increase in marketing expenditures to acquire market share.

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

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. might pose a severe risk to the market share of business. In this situation the company could consider presenting Click and Recommendations of Smart Communications Inc (B) Case Solution stores. These shops with a low requirement of funds to settle would allow the business to reach international markets, without ending its domestic stores.

Pros:

• Low investment
• Decreasing competition threat
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Large Incomes
• Low Operating Expense
• Easy new market entryway

Cons:

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

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

Another choice that the company might think about, is to broaden towards the global markets without closing its domestic stores that adds to the huge part of profits of the business. The pros and cons connected to Alternative 3 are given below;

Pros:

• Minimizing competitors risk
• Access to the world markets
• Enlarging customer base
• Big Earnings
• Exploration of new global markets.
• Increase in revenue from worldwide markets.
• Revenue diversity.
• Action towards being a strong global brand name.

Cons:

• Continuation of problems associated with variety.
• Differences in cultures might resulted in a failure of the brand name specifically in Asian countries.
• Low revenues at preliminary levels.
• Increase in marketing expenses to get market share.



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