Recommendations of The Bullwhip Effect In Supply Chains Case Analysis

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Recommendations of The Bullwhip Effect In Supply Chains Case Study Analysis

On the basis of above internal and external analysis of the company in addition to the assessment of numerous options, the business is advised to consider alternative 3. As alternative 3 would enable the business to expand in international markets with no reduction in its local revenues and any deterioration of its market position. By thinking about Alternative 3, the company could maintain its store experience and brand originality. It could also consider alternative 2 that could permit the company to access the markets without any prospective financial investment. Although, the company could pursue alternative 1 which would enable the business to focus on possible international markets instead of the regional markets but as the business is highly dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would lead to the substantial decline in business's revenue. Therefore, the company is advised to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of The Bullwhip Effect In Supply Chains Case Analysis Stores

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

Pros:

• Exploration of new global markets.
• Increase in income from international markets.
• Elimination of problems associated with variety.
• Income diversification.
• Action towards being a strong global brand.

Cons:

• Loss of extensive earnings from the regional markets.
• Boost in competition.
• Distinctions in cultures could led to a failure of the brand especially in Asian nations.
• Low profits at preliminary levels.
• Boost in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of The Bullwhip Effect In Supply Chains Case Analysis Stores

With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might pose an extreme risk to the market share of business. In this scenario the company might consider presenting Click and Recommendations of The Bullwhip Effect In Supply Chains Case Help stores. 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
• Decreasing competitors threat
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Large Revenues
• Low Operating Expense
• Easy brand-new market entrance

Cons:

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

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

Another option that the business might consider, is to broaden towards the worldwide markets without closing its domestic stores that contributes to the huge part of revenues of the business. The pros and cons connected to Alternative 3 are provided listed below;

Pros:

• Minimizing competition hazard
• Access to the world markets
• Expanding consumer base
• Large Revenues
• Expedition of new global markets.
• Increase in profits from international markets.
• Income diversification.
• Step towards being a strong global brand name.

Cons:

• Extension of concerns connected to diversity.
• Differences in cultures might led to a failure of the brand specifically in Asian countries.
• Low profits at initial levels.
• Boost in marketing expenses to get market share.



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