With the deep analysis of the above alternatives, it is recommended that the company should select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would allow the business to not only introduce new and innovative items in the market it would likewise lower the high expenses on R&D under alternative 2 and increase the profit margins. It would make it possible for the company to increase its share costs too, as financiers are willing to invest more in companies with significant R&D costs and boost in the overall worth of the business.
Action and implementation Strategy
Technique can be carried out successfully by establishing specific short term as well as long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Qvc Inc need to carry out different activities to implement its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brand names, which create most of its earnings.
• Evaluate the existing target audience as well as the marketplace section which is not consist of in the business's circle.
• Analyze the current financial information to measure the quantity that needs to be invested in the R&D and acquisitions.
• Evaluate the prospective financiers and their nature, i.e. do they want long term advantages (capital gain), or the desire early profits (dividend). It would let the company to understand that just how much quantity needs to be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has prospective experience to handle. Get most favorable companies with a strong commitment to health, to construct the consumer's understandings in the ideal direction.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about Qvc Inc worths and vision and to prevent prospective risk of sunk expense.
Long Term Plan (1-10 years)
• Get organizations with health along with taste element, as the base for the Qvc Inc as a company producing healthy products has actually been developed under midterm plan and now the business might 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 considerable time to develop new items.
