With the deep analysis of the above options, it is recommended that the business needs to select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would enable the company to not only present brand-new and innovative items in the market it would likewise lower the high expenditures on R&D under alternative 2 and increase the earnings margins. It would enable the business to increase its share costs too, as investors are willing 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 implemented successfully by developing certain short-term in addition to long term strategies. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy 5 Fortune One Of Many Chinese Restaurants must 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 brand names, which create most of its income.
• Analyze the existing target audience as well as the market section which is not include in the company's circle.
• Analyze the existing financial data to determine the quantity that ought to be invested in the R&D and acquisitions.
• Analyze the possible financiers and their nature, i.e. do they want long term benefits (capital gain), or the desire early profits (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)
• Get those organizations in which the business has prospective experience to handle. Obtain most favorable organizations with a strong commitment to health, to construct the consumer's perceptions in the ideal direction.
• Focus more on acquisitions than R&D to build the base in the customer's mind about 5 Fortune One Of Many Chinese Restaurants values and vision and to prevent possible risk of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health as well as taste factor, as the base for the 5 Fortune One Of Many Chinese Restaurants as a company producing healthy products has been developed under midterm plan and now the company might move towards taste aspect too to grasp 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 construct brand-new products.
