With the deep analysis of the above alternatives, it is suggested that the company needs to pick the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would enable the business to not just introduce brand-new and innovative items in the market it would also reduce the high expenses on R&D under alternative 2 and increase the revenue margins. It would make it possible for the business to increase its share rates as well, as investors are willing to invest more in business with considerable R&D spending and increase in the overall worth of the company.
Action and implementation Strategy
Method can be implemented efficiently by establishing certain 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 Clarkson Lumber Co Spanish Version need to perform different activities to implement its NHW method effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brand names, which create the majority of its profits.
• Evaluate the current target market as well as the market segment which is not include in the business's circle.
• Examine the existing financial data to measure the quantity that should be spent on the R&D and acquisitions.
• Analyze the potential financiers and their nature, i.e. do they want long term benefits (capital gain), or the want early revenues (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 possible experience to deal with. Obtain most favorable organizations with a strong dedication to health, to develop the customer's understandings in the best direction.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Clarkson Lumber Co Spanish Version worths and vision and to prevent potential risk of sunk cost.
Long Term Plan (1-10 years)
• Acquire organizations with health along with taste element, as the base for the Clarkson Lumber Co Spanish Version as a company producing healthy products has actually been constructed under midterm strategy and now the company could move towards taste factor also 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 considerable time to build new products.
