With the deep analysis of the above options, it is recommended that the business must select the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would enable the company to not just present brand-new and innovative items in the market it would likewise minimize 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 spending and boost in the overall worth of the company.
Action and implementation Strategy
Strategy can be carried out efficiently by developing certain short-term along with long term strategies. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Binomial Option Pricing need to carry out different activities to execute its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brands, which generate most of its earnings.
• Evaluate the present target audience along with the market sector which is not consist of in the business's circle.
• Analyze the present financial data to measure the quantity that needs to be spent on the R&D and acquisitions.
• Analyze the prospective financiers and their nature, i.e. do they desire long term benefits (capital gain), or the want early revenues (dividend). It would let the company to know that how much quantity should be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has possible experience to deal with. Get most favorable companies with a strong dedication to health, to construct the customer's understandings in the ideal direction.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Binomial Option Pricing worths and vision and to avoid prospective risk of sunk cost.
Long Term Plan (1-10 years)
• Get companies with health in addition to taste aspect, as the base for the Binomial Option Pricing as a business producing healthy products has been built under midterm strategy and now the company might move towards taste aspect also to comprehend the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to build brand-new products.
