With the deep analysis of the above alternatives, it is suggested that the business should pick the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would enable the business to not only introduce brand-new and ingenious products in the market it would also decrease the high expenditures on R&D under alternative 2 and increase the revenue margins. It would allow the company to increase its share costs also, as investors are willing to invest more in companies with significant R&D spending and boost in the total worth of the company.
Action and implementation Strategy
Method can be executed efficiently by developing specific short-term in addition to long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Female Health Company ought to perform different activities to execute its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which produce most of its revenue.
• Analyze the existing target audience in addition to the market segment which is not include in the company's circle.
• Analyze the present financial information to determine the quantity that must be invested in the R&D and acquisitions.
• Evaluate the prospective financiers and their nature, i.e. do they want long term benefits (capital gain), or the want early earnings (dividend). It would let the company to understand that how much quantity should be spent on R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the business has prospective experience to deal with. Acquire most beneficial companies with a strong commitment to health, to develop the client's perceptions in the best direction.
• Focus more on acquisitions than R&D to construct the base in the customer's mind about Female Health Company values and vision and to avoid possible threat of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health in addition to taste factor, as the base for the Female Health Company as a company producing healthy products has been constructed under midterm strategy and now the business might move towards taste aspect too to grasp the consumers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to build new products.
