With the deep analysis of the above options, it is advised that the company needs to select the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would make it possible for the business to not only introduce new and innovative items in the market it would also minimize the high expenditures on R&D under alternative 2 and increase the profit margins. It would enable the business to increase its share rates too, as financiers want to invest more in business with considerable R&D costs and boost in the overall worth of the business.
Action and implementation Strategy
Strategy can be carried out effectively by developing particular short-term as well as long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Mothers Work ought to carry out different activities to implement its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brands, which produce most of its profits.
• Examine the current target audience in addition to the marketplace section which is not consist of in the business's circle.
• Analyze the present financial data to determine the quantity that needs to be spent on the R&D and acquisitions.
• Examine the possible investors 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 just how much amount should be spent on R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the company has possible experience to deal with. Get most favorable companies with a strong dedication to health, to construct the consumer's perceptions in the best instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Mothers Work values and vision and to avoid possible danger of sunk expense.
Long Term Plan (1-10 years)
• Get organizations with health in addition to taste factor, as the base for the Mothers Work as a company producing healthy products has been built under midterm strategy and now the business might move towards taste factor as well to comprehend the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to build brand-new products.