Recommendations of Evolution Of The Xbox Supply Chain Case Analysis

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Recommendations of Evolution Of The Xbox Supply Chain Case Study Analysis

On the basis of above internal and external analysis of the company along with the evaluation of numerous options, the company is advised to think about alternative 3. As alternative 3 would enable the business to broaden in global 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 enable the business to focus on prospective global markets rather than the local markets however as the business is extremely reliant on the local markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the substantial decrease in company's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Evolution Of The Xbox Supply Chain Case Analysis Stores

The business has a long term market position in United States which can not be created soon in the new markets. The option would help the company to broaden in international markets along with the elimination of issues raised in its local markets related to its variety.

Pros:

• Expedition of brand-new international markets.
• Boost in earnings from worldwide markets.
• Elimination of issues connected to variety.
• Earnings diversity.
• Action towards being a strong international brand name.

Cons:

• Loss of comprehensive incomes from the local markets.
• Boost in competitors.
• Distinctions in cultures could resulted in a failure of the brand name particularly in Asian nations.
• Low revenues at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Evolution Of The Xbox Supply Chain Case Analysis Stores

With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. could posture a serious danger to the market share of business. In this situation the business might think about presenting Click and Recommendations of Evolution Of The Xbox Supply Chain Case Analysis shops. These stores with a low requirement of funds to settle would allow the company to reach international markets, without ending its domestic shops.

Pros:

• Low financial investment
• Lowering competition threat
• Access to the world markets
• Enlarging consumer base
• Easy to handle
• Large Incomes
• Low Operating Expense
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Removal of brand name Uniqueness
• Elimination of the fantastic store experience.
• Danger of decline in elite sales.

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

Another alternative that the business could think about, is to broaden towards the international markets without closing its domestic shops that adds to the major part of revenues of the company. The benefits and drawbacks associated with Alternative 3 are offered listed below;

Pros:

• Reducing competitors danger
• Access to the world markets
• Increasing the size of customer base
• Big Earnings
• Exploration of new global markets.
• Increase in earnings from international markets.
• Revenue diversification.
• Action towards being a strong worldwide brand.

Cons:

• Extension of issues related to diversity.
• Differences in cultures might caused a failure of the brand particularly in Asian countries.
• Low incomes at preliminary levels.
• Boost in marketing expenses to get market share.



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