Recommendations of Frontier Services Group Building A Pan African Logistics Provider (A) Case Solution

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Recommendations of Frontier Services Group Building A Pan African Logistics Provider (A) Case Study Analysis

On the basis of above internal and external analysis of the company along with the evaluation of different options, the business is recommended to think about alternative 3. As alternative 3 would permit the business to broaden in global markets without any decrease in its local revenues and any deterioration of its market position. The business could pursue alternative 1 which would allow the company to focus on prospective international markets rather than the local markets but as the business is extremely dependent on the regional markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the significant decrease in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Frontier Services Group Building A Pan African Logistics Provider (A) Case Help Stores

The business has a long term market position in United States which can not be generated quickly in the brand-new markets. The choice would assist the company to broaden in international markets along with the elimination of concerns raised in its local markets related to its diversity.

Pros:

• Exploration of brand-new worldwide markets.
• Increase in earnings from worldwide markets.
• Elimination of issues related to diversity.
• Income diversification.
• Step towards being a strong worldwide brand.

Cons:

• Loss of comprehensive earnings from the regional markets.
• Boost in competition.
• Distinctions in cultures could resulted in a failure of the brand name especially in Asian nations.
• Low earnings at preliminary levels.
• Boost in marketing expenses to gain market share.

Alternative-2: Introduction of Click and Recommendations of Frontier Services Group Building A Pan African Logistics Provider (A) Case Help Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on could pose a serious risk to the market share of company. In this situation the company might think about presenting Click and Recommendations of Frontier Services Group Building A Pan African Logistics Provider (A) Case Analysis stores. These stores with a low requirement of funds to settle would make it possible for the company to reach worldwide markets, without ending its domestic stores.

Pros:

• Low financial investment
• Lowering competitors hazard
• Access to the world markets
• Expanding consumer base
• Easy to handle
• Big Revenues
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the market position
• Removal of brand Originality
• Removal of the fantastic store experience.
• Risk of decline in elite sales.

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

Another choice that the business could think about, is to broaden towards the global markets without closing its domestic stores that adds to the major part of incomes of the company. The benefits and drawbacks associated with Alternative 3 are given listed below;

Pros:

• Lowering competitors threat
• Access to the world markets
• Increasing the size of customer base
• Big Incomes
• Expedition of brand-new global markets.
• Boost in profits from global markets.
• Revenue diversification.
• Step towards being a strong global brand.

Cons:

• Extension of problems related to variety.
• Differences in cultures could resulted in a failure of the brand name particularly in Asian nations.
• Low earnings at initial levels.
• Increase in marketing expenses to acquire market share.



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