With the deep analysis of the above options, it is advised that the company must choose 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 only present brand-new and ingenious products in the market it would also decrease the high expenses on R&D under alternative 2 and increase the profit margins. It would allow the company to increase its share costs also, as investors want to invest more in business with significant R&D costs and boost in the overall worth of the company.
Action and implementation Strategy
Method can be executed effectively by establishing certain short term along with long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Listerine In Brazil ought to perform different activities to implement its NHW strategy effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to take a look at the core selling brands, which generate the majority of its revenue.
• Analyze the present target market as well as the market segment which is not include in the business's circle.
• Evaluate the existing financial data to determine the amount that ought to be invested in the R&D and acquisitions.
• Evaluate the potential 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 know that how much quantity needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has prospective experience to handle. Get most beneficial companies with a strong dedication to health, to develop the customer's perceptions in the right instructions.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Listerine In Brazil worths and vision and to avoid potential danger of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health in addition to taste element, as the base for the Listerine In Brazil as a company producing healthy products has been developed under midterm strategy and now the business could move towards taste aspect also to understand the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to construct brand-new items.
