With the deep analysis of the above options, it is recommended that the business should pick 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 introduce new and ingenious products in the market it would also reduce the high expenditures on R&D under alternative 2 and increase the revenue margins. It would enable the company to increase its share costs as well, as investors want to invest more in business with significant R&D costs and increase in the total worth of the business.
Action and implementation Strategy
Technique can be carried out effectively by establishing particular short term as well as long term plans. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Gold Hill Venture Lending should perform different activities to implement its NHW method efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brands, which produce most of its profits.
• Analyze the current target audience along with the marketplace section which is not consist of in the company's circle.
• Analyze the present financial information to determine the quantity that must be invested in the R&D and acquisitions.
• Examine the potential investors 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 should be invested in R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the company has prospective experience to deal with. Get most beneficial companies with a strong commitment to health, to build the consumer's perceptions in the best instructions.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Gold Hill Venture Lending values and vision and to avoid possible risk of sunk cost.
Long Term Plan (1-10 years)
• Get organizations with health along with taste factor, as the base for the Gold Hill Venture Lending as a company producing healthy items has actually been built under midterm strategy 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 build brand-new items.
