Recommendations of Crocs (A): Revolutionizing An Industrys Supply Chain Model For Competitive Advantage Case Solution

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Recommendations of Crocs (A): Revolutionizing An Industrys Supply Chain Model For Competitive Advantage Case Study Analysis

RecommendationsOn the basis of above internal and external analysis of the business in addition to the assessment of numerous options, the company is recommended to consider alternative 3. As alternative 3 would allow the business to expand in global markets without any reduction in its local earnings and any deterioration of its market position. By thinking about Alternative 3, the company might keep its shop experience and brand name originality. Nevertheless, it could also think about alternative 2 that might allow the company to access the marketplaces with no potential financial investment. The company could pursue alternative 1 which would enable the business to focus on potential worldwide markets rather than the local markets but as the business is highly reliant on the local markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the substantial decline in company's profits. The business is advised to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Crocs (A): Revolutionizing An Industrys Supply Chain Model For Competitive Advantage Case Analysis Stores

International SegmentsGrowth towards international markets through opening brand-new shops in other Europe and Asian countries with closing domestic stores is although a good alternative for increasing the worldwide presence of the business. Nevertheless, the closing of domestic shops might highly affect the profits of the firm as above 90% of its stores lie locally and closing those stores would ultimately minimize the revenues of the firm. The company has a long term market position in United States which can not be generated quickly in the brand-new markets. The choice would help the business to expand in international markets along with the removal of concerns raised in its regional markets connected to its variety. The advantages and disadvantages for Option 1 are noted below;

Pros:

• Exploration of brand-new global markets.
• Increase in revenue from international markets.
• Removal of issues connected to variety.
• Earnings diversity.
• Action towards being a strong international brand name.

Cons:

• Loss of comprehensive revenues from the regional markets.
• Increase in competitors.
• Differences in cultures might led to a failure of the brand name specifically in Asian nations.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Crocs (A): Revolutionizing An Industrys Supply Chain Model For Competitive Advantage Case Solution Stores

Alternative 2 includes the introduction of online market locations through creating a correct business's site. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. might posture an extreme risk to the market share of business. The rivals are shifting towards click and Recommendations of Crocs (A): Revolutionizing An Industrys Supply Chain Model For Competitive Advantage Case Solution stores with Gap introducing Piperline. This shift towards online markets could lower the revenues for business. In this scenario the business could think about introducing Click and Recommendations of Crocs (A): Revolutionizing An Industrys Supply Chain Model For Competitive Advantage Case Solution shops. These stores with a low requirement of funds to settle would allow the business to reach worldwide markets, without ending its domestic shops. The pros and cons of option 2 are offered as follows;

Pros:

• Low investment
• Minimizing competitors risk
• Access to the world markets
• Increasing the size of consumer base
• Easy to manage
• Big Profits
• Low Operating Expense
• Easy brand-new market entryway

Cons:

• Hazard to the marketplace position
• Removal of brand Originality
• Elimination of the terrific shop experience.
• Danger of decrease in elite sales.

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

Another alternative that the company could think about, is to broaden towards the international markets without closing its domestic stores that adds to the huge part of earnings of the business. The benefits and drawbacks connected to Alternative 3 are given below;

Pros:

• Reducing competition threat
• Access to the world markets
• Increasing the size of customer base
• Large Incomes
• Expedition of brand-new global markets.
• Boost in profits from international markets.
• Income diversification.
• Action towards being a strong global brand.

Cons:

• Extension of problems connected to variety.
• Differences in cultures could resulted in a failure of the brand specifically in Asian countries.
• Low earnings at preliminary levels.
• Increase in marketing expenses to get market share.



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