With the deep analysis of the above options, it is recommended that the company needs to choose the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would enable the company to not only introduce brand-new and innovative items in the market it would likewise decrease the high expenses on R&D under alternative 2 and increase the revenue margins. It would make it possible for the company to increase its share costs as well, as financiers want to invest more in business with substantial R&D spending and increase in the overall worth of the business.
Action and implementation Strategy
Strategy can be implemented effectively by developing certain short term along with long term plans. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Busang River Of Gold A ought to carry out various activities to execute its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which create most of its income.
• Analyze the existing target audience as well as the market sector which is not consist of in the business's circle.
• Analyze the present financial data to determine the amount that must be invested in the R&D and acquisitions.
• Examine the prospective investors and their nature, i.e. do they desire long term benefits (capital gain), or the want early revenues (dividend). It would let the business to understand that how much quantity should be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the business has possible experience to handle. Acquire most favorable 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 build the base in the consumer's mind about Busang River Of Gold A values and vision and to prevent prospective risk of sunk expense.
Long Term Plan (1-10 years)
• Acquire companies with health in addition to taste aspect, as the base for the Busang River Of Gold A as a company producing healthy products has actually been constructed under midterm strategy and now the company might move towards taste factor too 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 substantial time to construct new items.
