With the deep analysis of the above alternatives, it is advised that the company should choose the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would allow the business to not just introduce new and ingenious items in the market it would also lower 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 want to invest more in business with significant R&D costs and increase in the total worth of the company.
Action and implementation Strategy
Strategy can be implemented effectively by developing specific short term as well as long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Corporate New Ventures At Procter Gamble ought to carry out various activities to implement its NHW strategy effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brands, which create the majority of its profits.
• Examine the present target audience as well as the marketplace sector which is not include in the company's circle.
• Examine the current financial data to determine the amount that must be invested in the R&D and acquisitions.
• Evaluate the prospective financiers and their nature, i.e. do they desire long term advantages (capital gain), or the desire early revenues (dividend). It would let the company to understand that just how much quantity should be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the business has prospective experience to deal with. Get most favorable organizations with a strong commitment to health, to develop the client's understandings in the best instructions.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about Corporate New Ventures At Procter Gamble worths and vision and to avoid prospective danger of sunk expense.
Long Term Plan (1-10 years)
• Acquire companies with health as well as taste element, as the base for the Corporate New Ventures At Procter Gamble as a business producing healthy items has been constructed under midterm plan and now the company might move towards taste element also to grasp 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 products.
