With the deep analysis of the above alternatives, it is recommended that the company must 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 company to not just present brand-new and innovative products in the market it would also reduce the high expenses on R&D under alternative 2 and increase the profit margins. It would make it possible for the business to increase its share costs as well, as financiers are willing to invest more in business with substantial R&D spending and increase in the total worth of the business.
Action and implementation Strategy
Technique can be carried out efficiently 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 plan Akbank Credit Card Division ought to perform various activities to implement its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brand names, which produce the majority of its income.
• Analyze the current target market along with the marketplace sector which is not include in the company's circle.
• Examine the existing financial data to determine the amount that ought to be invested in the R&D and acquisitions.
• Evaluate the potential financiers and their nature, i.e. do they want long term benefits (capital gain), or the want early earnings (dividend). It would let the company to understand that just how much amount must be spent on R&D.
Mid Term Plan (1-5 years)
• Acquire those organizations in which the business has potential experience to deal with. Get most beneficial organizations with a strong dedication to health, to build the consumer's understandings in the best direction.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Akbank Credit Card Division worths and vision and to avoid prospective danger of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health along with taste factor, as the base for the Akbank Credit Card Division as a company producing healthy items has actually been built under midterm plan and now the company might move towards taste aspect as well to understand the customers, 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.
