With the deep analysis of the above options, it is advised that the business must pick the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would make it possible for the business to not just introduce new and ingenious products in the market it would likewise reduce the high expenses on R&D under alternative 2 and increase the revenue margins. It would make it possible for the business to increase its share prices as well, as financiers are willing to invest more in companies with considerable R&D costs and increase in the total worth of the company.
Action and implementation Strategy
Strategy can be executed efficiently by establishing 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 strategy Huawei need to perform numerous activities to execute its NHW method effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brand names, which generate most of its revenue.
• Examine the current target audience along with the marketplace segment which is not include in the business's circle.
• Analyze the present financial data to determine the quantity that must be spent on the R&D and acquisitions.
• Evaluate the potential financiers and their nature, i.e. do they want long term advantages (capital gain), or the want early revenues (dividend). It would let the company to know that how much amount ought to be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those organizations in which the company has prospective experience to deal with. Obtain most beneficial organizations with a strong commitment to health, to construct the customer's understandings in the right direction.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Huawei values and vision and to avoid prospective danger of sunk expense.
Long Term Plan (1-10 years)
• Obtain organizations with health as well as taste element, as the base for the Huawei as a company producing healthy items has actually been developed under midterm strategy and now the company could move towards taste aspect as well to understand the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to develop new products.
