With the deep analysis of the above options, it is recommended that the company must pick the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would make it possible for the business to not only present new and innovative products in the market it would also decrease the high expenditures on R&D under alternative 2 and increase the revenue margins. It would enable the business to increase its share rates too, as investors want to invest more in companies with considerable R&D costs and boost in the total worth of the company.
Action and implementation Strategy
Method can be carried out efficiently by establishing specific short-term along with long term strategies. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Business And The Facts Of Family Life must carry out various activities to execute its NHW technique effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brand names, which create most of its profits.
• Examine the present target market in addition to the market sector which is not consist of in the company's circle.
• Examine the existing financial information to determine the quantity that needs to be invested in the R&D and acquisitions.
• Evaluate the prospective investors and their nature, i.e. do they want long term advantages (capital gain), or the want early earnings (dividend). It would let the company to understand that how much quantity needs to be spent on R&D.
Mid Term Plan (1-5 years)
• Acquire those organizations in which the business has possible experience to deal with. Obtain most beneficial organizations with a strong commitment to health, to construct the consumer's understandings in the best instructions.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Business And The Facts Of Family Life values and vision and to prevent potential risk of sunk expense.
Long Term Plan (1-10 years)
• Acquire organizations with health as well as taste aspect, as the base for the Business And The Facts Of Family Life as a business producing healthy items has actually been built under midterm plan and now the company could move towards taste factor too to comprehend 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 develop new items.