With the deep analysis of the above options, it is recommended that the company ought to 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 just present new and innovative items in the market it would also reduce the high expenses on R&D under alternative 2 and increase the profit margins. It would allow the business to increase its share prices also, as investors want to invest more in companies with substantial R&D costs and boost in the total worth of the business.
Action and implementation Strategy
Method can be executed effectively by establishing certain short-term as well as long term strategies. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Grow Green Program need to carry out various activities to execute its NHW technique effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to analyze the core selling brands, which generate most of its profits.
• Evaluate the current target market along with the market section which is not consist of in the business's circle.
• Evaluate the existing financial data to determine the amount 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 know that how much amount needs to be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those organizations in which the business has prospective experience to handle. Get most beneficial organizations with a strong dedication to health, to build the consumer's understandings in the ideal instructions.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Grow Green Program worths and vision and to prevent possible risk of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health in addition to taste factor, as the base for the Grow Green Program as a business producing healthy items has been built under midterm strategy and now the company could move towards taste aspect as well to grasp the customers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the substantial time to build new items.
