Recommendations of A Smart Supply Chain For A Smart Product: Micro Compact Car Smart Gmbh Case Help

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Recommendations of A Smart Supply Chain For A Smart Product: Micro Compact Car Smart Gmbh Case Study Analysis

On the basis of above internal and external analysis of the company along with the assessment of numerous alternatives, the company is suggested to consider alternative 3. As alternative 3 would permit the business to expand in worldwide markets without any decrease in its local revenues and any wear and tear of its market position. The company could pursue alternative 1 which would make it possible for the business to focus on possible global markets rather than the regional markets but as the business is extremely dependent on the regional markets with 90% of its stores in the United States, there fore pursuing alternative 1 would result in the considerable decrease in company's profits.

Aletrnative-1: Expanding International Brick and Recommendations of A Smart Supply Chain For A Smart Product: Micro Compact Car Smart Gmbh Case Analysis Stores

Growth towards global markets through opening new stores in other Europe and Asian nations with closing domestic stores is although an excellent choice for increasing the global existence of the business. The closing of domestic shops might extremely impact the profits of the firm as above 90% of its shops are situated locally and closing those shops would ultimately decrease the earnings of the firm. The company has a long term market position in US which can not be produced quickly in the brand-new markets. The option would help the company to broaden in worldwide markets along with the elimination of problems raised in its regional markets associated with its variety. The advantages and disadvantages for Alternative 1 are noted below;

Pros:

• Exploration of brand-new worldwide markets.
• Increase in profits from global markets.
• Removal of problems associated with diversity.
• Profits diversification.
• Action towards being a strong international brand.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Boost in competition.
• Differences in cultures could caused a failure of the brand name specifically in Asian countries.
• Low profits at initial levels.
• Increase in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of A Smart Supply Chain For A Smart Product: Micro Compact Car Smart Gmbh Case Help Stores

Alternative 2 includes the introduction of online market locations through producing an appropriate business's site. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on could pose an extreme threat to the marketplace share of company. Additionally, the competitors are shifting towards click and Recommendations of A Smart Supply Chain For A Smart Product: Micro Compact Car Smart Gmbh Case Solution stores with Space presenting Piperline. This shift towards online markets might lower the profits for company. In this scenario the business might consider introducing Click and Recommendations of A Smart Supply Chain For A Smart Product: Micro Compact Car Smart Gmbh Case Analysis stores. These stores with a low requirement of funds to settle would enable the company to reach international markets, without ending its domestic stores. The advantages and disadvantages of option 2 are provided as follows;

Pros:

• Low financial investment
• Decreasing competition hazard
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Big Revenues
• Low Operating Expense
• Easy new market entrance

Cons:

• Risk to the marketplace position
• Elimination of brand Individuality
• Removal of the excellent store experience.
• Threat of decrease in elite sales.

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

Another option that the business might think about, is to expand towards the worldwide markets without closing its domestic shops that contributes to the huge part of earnings of the company. The pros and cons associated with Alternative 3 are offered below;

Pros:

• Decreasing competitors risk
• Access to the world markets
• Increasing the size of consumer base
• Big Earnings
• Expedition of new international markets.
• Increase in income from international markets.
• Earnings diversity.
• Action towards being a strong global brand name.

Cons:

• Extension of problems connected to variety.
• Differences in cultures could caused a failure of the brand particularly in Asian countries.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to gain market share.



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