With the deep analysis of the above alternatives, it is recommended that the business should pick the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would make it possible for the business to not just introduce new and innovative items in the market it would also reduce the high expenditures on R&D under alternative 2 and increase the profit margins. It would allow the business to increase its share prices as well, as investors want to invest more in business with substantial R&D costs and boost in the overall worth of the company.
Action and implementation Strategy
Method can be implemented efficiently by establishing certain short term in addition to long term plans. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Azim Premji Trust The Endowment Model In An Emerging Market should perform various activities to implement its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brand names, which produce the majority of its income.
• Evaluate the present target audience in addition to the market sector which is not include in the business's circle.
• Evaluate the current financial data to measure the amount that must be invested in the R&D and acquisitions.
• Examine the potential financiers and their nature, i.e. do they want long term advantages (capital gain), or the want early earnings (dividend). It would let the business to understand that how much amount needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has possible experience to handle. Acquire most beneficial companies with a strong commitment to health, to build the consumer's perceptions in the right direction.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Azim Premji Trust The Endowment Model In An Emerging Market worths and vision and to avoid possible risk of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health along with taste aspect, as the base for the Azim Premji Trust The Endowment Model In An Emerging Market as a company producing healthy items has actually been built under midterm strategy and now the company could move towards taste factor also to grasp the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to construct new items.
