With the deep analysis of the above alternatives, it is advised that the company should choose the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would allow the company to not just present new and ingenious items in the market it would likewise lower the high expenses on R&D under alternative 2 and increase the revenue margins. It would allow the business to increase its share prices also, as investors are willing to invest more in companies with considerable R&D costs and increase in the total worth of the business.
Action and implementation Strategy
Method can be carried out successfully by developing certain short term as well as long term strategies. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Relationships Among Siblings And Cousins In A Family Firm should carry out different activities to implement its NHW method efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brands, which generate the majority of its profits.
• Analyze the present target audience along with the market sector which is not consist of in the company's circle.
• Analyze the current financial information to determine the quantity that must be invested in the R&D and acquisitions.
• Examine the possible investors and their nature, i.e. do they desire long term benefits (capital gain), or the want early earnings (dividend). It would let the business to understand that how much amount needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the business has prospective experience to handle. Acquire most beneficial organizations with a strong commitment to health, to build the consumer's perceptions in the right instructions.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Relationships Among Siblings And Cousins In A Family Firm values and vision and to avoid prospective danger of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health in addition to taste element, as the base for the Relationships Among Siblings And Cousins In A Family Firm as a company producing healthy items has been constructed under midterm strategy and now the company could move towards taste element also to understand the consumers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to develop new items.
