With the deep analysis of the above options, it is recommended that the business ought to 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 present brand-new and innovative products in the market it would likewise decrease the high expenses on R&D under alternative 2 and increase the revenue margins. It would enable the business to increase its share costs as well, as investors are willing to invest more in business with substantial R&D spending and increase in the total worth of the business.
Action and implementation Strategy
Technique can be executed effectively by developing specific short term along with long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Food And Beverage Industry ought to carry out numerous activities to implement its NHW strategy effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brand names, which generate the majority of its income.
• Evaluate the existing target market in addition to the marketplace segment which is not consist of in the company's circle.
• Evaluate the present financial data to measure the amount that should be spent on the R&D and acquisitions.
• Examine the potential financiers and their nature, i.e. do they desire long term advantages (capital gain), or the want early revenues (dividend). It would let the company to understand that just how much amount ought to be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has prospective experience to deal with. Obtain most favorable organizations with a strong commitment to health, to construct the consumer's understandings in the best instructions.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Food And Beverage Industry worths and vision and to avoid possible risk of sunk expense.
Long Term Plan (1-10 years)
• Get organizations with health along with taste element, as the base for the Food And Beverage Industry as a business producing healthy products has been constructed under midterm plan and now the company might move towards taste factor as well to understand 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 build brand-new products.
