With the deep analysis of the above options, it is recommended that the business needs to pick the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would make it possible for the business to not just present new and innovative products in the market it would likewise decrease the high expenses on R&D under alternative 2 and increase the profit margins. It would make it possible for the business to increase its share costs too, as investors are willing to invest more in business with significant R&D costs and increase in the overall worth of the business.
Action and implementation Strategy
Method can be carried out successfully by establishing certain short term as well as long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Gordon Cain And The Sterling Group B need to carry out numerous activities to execute 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 generate most of its earnings.
• Evaluate the current target market along with the market section which is not include in the company's circle.
• Analyze the current financial data to measure the quantity that should be invested in the R&D and acquisitions.
• Evaluate the potential investors and their nature, i.e. do they desire long term advantages (capital gain), or the want early earnings (dividend). It would let the business to understand that how much amount needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the company has possible experience to handle. Get most beneficial companies with a strong commitment to health, to construct the consumer's understandings in the best direction.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about Gordon Cain And The Sterling Group B worths and vision and to prevent possible danger of sunk cost.
Long Term Plan (1-10 years)
• Get organizations with health as well as taste element, as the base for the Gordon Cain And The Sterling Group B as a company producing healthy products has been constructed under midterm strategy and now the business could move towards taste factor also 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 new items.
