Recommendations of Shanzhai (Bandit) Mobile Phone Companies: The Guerilla Warfare Of Product Development And Supply Chain Management Case Help

Home >> Stanford Business School >> Shanzhai (Bandit) Mobile Phone Companies: The Guerilla Warfare Of Product Development And Supply Chain Management >> Recommendations

Recommendations of Shanzhai (Bandit) Mobile Phone Companies: The Guerilla Warfare Of Product Development And Supply Chain Management Case Study Solution

On the basis of above internal and external analysis of the company along with the evaluation of various options, the company 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 earnings and any deterioration of its market position. The business could pursue alternative 1 which would allow the company to focus on possible international markets rather than the local markets however 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 substantial decline in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Shanzhai (Bandit) Mobile Phone Companies: The Guerilla Warfare Of Product Development And Supply Chain Management Case Help Stores

The business has a long term market position in United States which can not be produced quickly in the brand-new markets. The alternative would help the company to expand in global markets along with the removal of concerns raised in its regional markets related to its diversity.

Pros:

• Exploration of new global markets.
• Increase in profits from worldwide markets.
• Removal of concerns associated with variety.
• Revenue diversity.
• Action towards being a strong global brand name.

Cons:

• Loss of substantial earnings from the regional markets.
• Increase in competition.
• Distinctions in cultures could resulted in a failure of the brand name particularly in Asian nations.
• Low earnings at preliminary levels.
• Increase in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Shanzhai (Bandit) Mobile Phone Companies: The Guerilla Warfare Of Product Development And Supply Chain Management Case Analysis Stores

Alternative 2 consists of the introduction of online market places through creating a proper company's site. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might posture a severe danger to the market share of company. The rivals are shifting towards click and Recommendations of Shanzhai (Bandit) Mobile Phone Companies: The Guerilla Warfare Of Product Development And Supply Chain Management Case Help shops with Gap presenting Piperline. This shift towards online markets could decrease the profits for business. In this scenario the company might think about introducing Click and Recommendations of Shanzhai (Bandit) Mobile Phone Companies: The Guerilla Warfare Of Product Development And Supply Chain Management Case Help stores. These shops with a low requirement of funds to settle would allow the company to reach worldwide markets, without ending its domestic shops. The pros and cons of option 2 are offered as follows;

Pros:

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

Cons:

• Hazard to the marketplace position
• Elimination of brand Individuality
• Elimination of the excellent shop experience.
• Risk of decline in elite sales.

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

Another option that the business could think about, is to expand towards the global markets without closing its domestic shops that contributes to the huge part of revenues of the business. The advantages and disadvantages associated with Alternative 3 are given below;

Pros:

• Minimizing competition hazard
• Access to the world markets
• Expanding customer base
• Large Revenues
• Exploration of brand-new international markets.
• Increase in profits from worldwide markets.
• Earnings diversification.
• Step towards being a strong worldwide brand name.

Cons:

• Extension of concerns associated with variety.
• Differences in cultures could caused a failure of the brand name especially in Asian nations.
• Low profits at initial levels.
• Increase in marketing expenses to gain market share.



This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.