With the deep analysis of the above options, it is suggested that the company should pick the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would enable the business to not just introduce 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 enable the company to increase its share costs too, as financiers want to invest more in companies with considerable R&D spending and increase in the overall worth of the business.
Action and implementation Strategy
Technique can be carried out successfully by developing certain short term along with long term plans. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Grupo Sidek A must perform various 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 brand names, which produce the majority of its income.
• Examine the existing target market as well as the market sector which is not include in the business's circle.
• Evaluate the existing financial information to determine the amount that ought to be invested in the R&D and acquisitions.
• Examine the potential financiers and their nature, i.e. do they want long term benefits (capital gain), or the desire early revenues (dividend). It would let the company to know that just how much quantity should be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those organizations in which the company has prospective experience to deal with. Acquire most beneficial companies with a strong commitment to health, to develop the customer's understandings in the ideal direction.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Grupo Sidek A worths and vision and to avoid potential danger of sunk expense.
Long Term Plan (1-10 years)
• Obtain organizations with health as well as taste factor, as the base for the Grupo Sidek A as a business producing healthy products has been constructed under midterm plan and now the company could move towards taste factor also to comprehend the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to construct new products.
