With the deep analysis of the above options, it is recommended that the company should select the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would allow the company to not only present new and ingenious products in the market it would also reduce the high expenditures on R&D under alternative 2 and increase the revenue margins. It would allow the company to increase its share prices too, as financiers are willing to invest more in companies with substantial R&D costs and increase in the total worth of the business.
Action and implementation Strategy
Strategy can be carried out effectively by establishing specific short term as well as long term strategies. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan The Scotts Company Note To The A Case What Happened In 2000 2003 should perform numerous activities to execute its NHW strategy 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 generate the majority of its profits.
• Evaluate the current target audience as well as the marketplace segment which is not include in the business's circle.
• Evaluate the existing financial information to determine the amount that ought to be spent on the R&D and acquisitions.
• Analyze the prospective financiers and their nature, i.e. do they want long term benefits (capital gain), or the want early profits (dividend). It would let the company to know that how much amount needs to be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the business has prospective experience to handle. Acquire most favorable companies with a strong commitment to health, to build the consumer's perceptions in the ideal direction.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about The Scotts Company Note To The A Case What Happened In 2000 2003 values and vision and to avoid prospective danger of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health as well as taste element, as the base for the The Scotts Company Note To The A Case What Happened In 2000 2003 as a business producing healthy items has actually been constructed under midterm plan and now the business could move towards taste element as well 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 build brand-new items.
