With the deep analysis of the above options, it is suggested that the company needs to choose 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 just introduce new and innovative products in the market it would likewise minimize the high expenses on R&D under alternative 2 and increase the revenue margins. It would make it possible for the company to increase its share rates also, as investors want to invest more in business with substantial R&D spending and increase in the overall worth of the business.
Action and implementation Strategy
Method can be carried out successfully by establishing specific short-term along with long term strategies. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Kitkat In Japan B The Roots Of Premiumization need to perform different activities to execute its NHW strategy effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brands, which generate most of its income.
• Examine the current target audience in addition to the marketplace sector which is not consist of in the business's circle.
• Examine the existing financial information to determine the amount that ought to be spent on the R&D and acquisitions.
• Evaluate the possible financiers and their nature, i.e. do they want long term benefits (capital gain), or the want early revenues (dividend). It would let the business to understand that just how much amount must be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those organizations in which the business has possible experience to deal with. Get most beneficial companies with a strong commitment to health, to build the client's understandings in the right instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Kitkat In Japan B The Roots Of Premiumization worths and vision and to prevent possible risk of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health in addition to taste factor, as the base for the Kitkat In Japan B The Roots Of Premiumization as a business producing healthy products has actually been constructed under midterm strategy and now the business could move towards taste element too 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 substantial time to build brand-new items.
