With the deep analysis of the above alternatives, it is suggested that the company must select the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would allow the company to not just present brand-new and ingenious products in the market it would also lower the high expenses on R&D under alternative 2 and increase the earnings margins. It would allow the business to increase its share rates as well, as investors want to invest more in companies with significant R&D spending and boost in the overall worth of the business.
Action and implementation Strategy
Method can be implemented efficiently by establishing specific short-term in addition to long term plans. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Suppliers Manage Your Customers must perform different activities to implement its NHW technique effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which generate most of its revenue.
• Evaluate the present target market along with the market segment which is not consist of in the business's circle.
• Examine the current financial information to measure the amount that should 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 desire early profits (dividend). It would let the business to understand that how much amount should be invested in R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the business has potential experience to handle. Get most favorable companies with a strong commitment to health, to construct the client's understandings in the right instructions.
• Focus more on acquisitions than R&D to develop the base in the customer's mind about Suppliers Manage Your Customers values and vision and to avoid prospective threat of sunk cost.
Long Term Plan (1-10 years)
• Acquire organizations with health in addition to taste aspect, as the base for the Suppliers Manage Your Customers as a business producing healthy items has actually been developed under midterm plan and now the business could move towards taste element 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 substantial time to construct brand-new products.