Recommendations of Unilever Group And Ariba: Towards Strategic Sourcing Case Solution

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Recommendations of Unilever Group And Ariba: Towards Strategic Sourcing Case Study Solution

On the basis of above internal and external analysis of the business along with the evaluation of numerous alternatives, the business is suggested to think about alternative 3. As alternative 3 would allow the company to expand in international markets without any decrease in its local profits and any wear and tear of its market position. The business might pursue alternative 1 which would allow the company to focus on potential international markets rather than the regional markets however as the company is extremely dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the considerable decline in business's revenue.

Aletrnative-1: Expanding International Brick and Recommendations of Unilever Group And Ariba: Towards Strategic Sourcing Case Help Stores

The business has a long term market position in US which can not be generated soon in the brand-new markets. The option would assist the business to broaden in global markets along with the removal of problems raised in its local markets related to its diversity.

Pros:

• Expedition of new global markets.
• Boost in earnings from global markets.
• Removal of problems associated with diversity.
• Earnings diversity.
• Action towards being a strong international brand.

Cons:

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

Alternative-2: Introduction of Click and Recommendations of Unilever Group And Ariba: Towards Strategic Sourcing Case Analysis Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on might posture a severe threat to the market share of company. In this situation the company could think about presenting Click and Recommendations of Unilever Group And Ariba: Towards Strategic Sourcing Case Solution shops. These shops with a low requirement of funds to settle would enable the business to reach international markets, without ending its domestic stores.

Pros:

• Low financial investment
• Lowering competitors danger
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Big Incomes
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the market position
• Elimination of brand name Uniqueness
• Elimination of the great shop experience.
• Threat of decline in elite sales.

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

Another alternative that the business might think about, is to expand towards the global markets without closing its domestic shops that adds to the huge part of revenues of the company. The pros and cons associated with Alternative 3 are provided listed below;

Pros:

• Minimizing competitors threat
• Access to the world markets
• Expanding consumer base
• Big Earnings
• Expedition of brand-new global markets.
• Increase in earnings from international markets.
• Earnings diversification.
• Action towards being a strong global brand name.

Cons:

• Extension of concerns related to variety.
• Distinctions in cultures might led to a failure of the brand name particularly in Asian nations.
• Low earnings at initial levels.
• Increase in marketing expenditures to get market share.



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