With the deep analysis of the above options, it is advised that the company should 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 introduce new and innovative products in the market it would also reduce the high expenditures on R&D under alternative 2 and increase the earnings margins. It would enable the business to increase its share rates too, as financiers 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 carried out efficiently by establishing specific short term in addition to long term plans. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Boston University Medical Center Hospital need to perform different activities to execute its NHW method effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brand names, which produce most of its earnings.
• Examine the present target audience as well as the market segment which is not include in the company's circle.
• Analyze the existing financial information to determine the quantity that must be spent on the R&D and acquisitions.
• Analyze the potential investors and their nature, i.e. do they want long term benefits (capital gain), or the desire early earnings (dividend). It would let the business to know that how much quantity should be spent on R&D.
Mid Term Plan (1-5 years)
• Acquire those organizations in which the business has prospective experience to deal with. Obtain most beneficial organizations with a strong commitment to health, to construct the customer's understandings in the best instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Boston University Medical Center Hospital worths and vision and to prevent potential risk of sunk expense.
Long Term Plan (1-10 years)
• Obtain organizations with health as well as taste aspect, as the base for the Boston University Medical Center Hospital as a company producing healthy products has actually been built under midterm plan and now the business could move towards taste element also to grasp 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 build brand-new items.
