With the deep analysis of the above alternatives, it is suggested that the company must select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would allow the business to not only present new and innovative items in the market it would also decrease the high expenses on R&D under alternative 2 and increase the profit margins. It would allow the company to increase its share prices too, as investors are willing to invest more in companies with significant R&D costs and boost in the overall worth of the company.
Action and implementation Strategy
Method can be implemented efficiently by establishing specific short term as well as long term plans. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Enron Collapse need to perform different activities to implement its NHW method effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brands, which create the majority of its revenue.
• Analyze the current target audience along with the marketplace section which is not include in the business's circle.
• Evaluate the existing financial information to determine the amount that should be spent on the R&D and acquisitions.
• Evaluate the potential financiers and their nature, i.e. do they desire long term benefits (capital gain), or the desire early earnings (dividend). It would let the business to understand that just how much amount should be spent on R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the company has potential experience to handle. Acquire most beneficial organizations with a strong dedication to health, to construct the customer's understandings in the right instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Enron Collapse values and vision and to prevent potential threat of sunk cost.
Long Term Plan (1-10 years)
• Acquire organizations with health in addition to taste element, as the base for the Enron Collapse as a business producing healthy items has actually been developed under midterm plan and now the business might move towards taste aspect too to grasp the consumers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to construct brand-new items.
