With the deep analysis of the above options, it is recommended that the company needs to select the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would make it possible for the business to not just present brand-new and innovative items in the market it would likewise reduce the high expenditures on R&D under alternative 2 and increase the profit margins. It would enable the business to increase its share prices as well, as investors want to invest more in business with significant R&D costs and increase in the total worth of the business.
Action and implementation Strategy
Technique can be executed successfully by developing particular short-term along with long term strategies. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Allen Distribution Co Spanish Version should carry out numerous activities to implement its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to take a look at the core selling brand names, which generate most of its revenue.
• Analyze the current target audience in addition to the marketplace sector which is not include in the company's circle.
• Examine the existing financial information to measure the quantity that must be invested in the R&D and acquisitions.
• Evaluate the prospective investors and their nature, i.e. do they desire long term benefits (capital gain), or the want early earnings (dividend). It would let the company to understand that how much quantity should be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those organizations in which the business has potential experience to deal with. Obtain most beneficial organizations with a strong dedication to health, to construct the customer's understandings in the best direction.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about Allen Distribution Co Spanish Version worths and vision and to prevent prospective risk of sunk expense.
Long Term Plan (1-10 years)
• Obtain companies with health as well as taste aspect, as the base for the Allen Distribution Co Spanish Version as a company producing healthy items has actually been built under midterm strategy and now the business might move towards taste factor also 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 develop new products.