With the deep analysis of the above alternatives, it is recommended that the company ought to choose the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would allow the company to not only present brand-new and ingenious products in the market it would likewise minimize the high expenditures on R&D under alternative 2 and increase the earnings margins. It would allow the business to increase its share prices too, as investors are willing to invest more in companies with substantial R&D spending and boost in the total worth of the business.
Action and implementation Strategy
Technique can be implemented efficiently by developing certain short term as well as long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Case Analysis Nordstrom ought to perform various activities to implement its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brands, which create most of its income.
• Examine the existing target audience in addition to the market segment which is not include in the company's circle.
• Examine the present financial information to measure the amount that must be invested in the R&D and acquisitions.
• Analyze the potential financiers and their nature, i.e. do they desire long term benefits (capital gain), or the want early profits (dividend). It would let the business to understand that how much amount ought to be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the business has prospective experience to deal with. Acquire most favorable organizations with a strong commitment to health, to develop the client's understandings in the ideal instructions.
• Focus more on acquisitions than R&D to construct the base in the customer's mind about Case Analysis Nordstrom worths and vision and to avoid possible danger of sunk expense.
Long Term Plan (1-10 years)
• Acquire companies with health in addition to taste element, as the base for the Case Analysis Nordstrom as a business producing healthy products has been developed under midterm plan and now the business might move towards taste aspect as well to comprehend the customers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to construct new items.
