With the deep analysis of the above options, it is advised that the company must choose the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would allow the business to not just introduce brand-new and ingenious items in the market it would likewise lower the high expenditures on R&D under alternative 2 and increase the profit margins. It would make it possible for the business to increase its share rates too, as financiers are willing to invest more in business with considerable R&D costs and boost in the overall worth of the company.
Action and implementation Strategy
Method can be implemented successfully by developing specific short term as well as long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy C R Plastics ought to carry out different activities to implement its NHW technique effectively. 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.
• Evaluate the existing target market along with the marketplace segment which is not consist of in the business's circle.
• Evaluate the present financial information to determine the amount that should be invested in the R&D and acquisitions.
• Evaluate the possible financiers and their nature, i.e. do they desire long term advantages (capital gain), or the desire early profits (dividend). It would let the business to understand that how much quantity needs to be spent on R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the business has possible experience to deal with. Acquire most favorable companies with a strong commitment to health, to construct the consumer's perceptions in the ideal instructions.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about C R Plastics worths and vision and to avoid possible risk of sunk cost.
Long Term Plan (1-10 years)
• Get companies with health as well as taste aspect, as the base for the C R Plastics as a company producing healthy items has actually been developed under midterm plan and now the business might move towards taste element too to grasp the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to construct brand-new items.
