With the deep analysis of the above options, it is advised that the company should select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would make it possible for the company to not only present new and innovative products in the market it would also minimize the high expenses on R&D under alternative 2 and increase the earnings margins. It would enable the company to increase its share rates also, as financiers want to invest more in business with considerable R&D spending and boost in the total worth of the company.
Action and implementation Strategy
Strategy can be carried out efficiently by developing particular short term in addition to long term plans. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Hallstead Jewelers must perform various activities to execute its NHW technique effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which create most of its revenue.
• Evaluate the existing target market as well as the marketplace section which is not consist of in the company's circle.
• Evaluate the existing financial data to measure the amount that needs to 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 desire early profits (dividend). It would let the company to know that just how much quantity should be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has possible experience to deal with. Acquire most beneficial companies with a strong commitment to health, to build the customer's understandings in the best instructions.
• Focus more on acquisitions than R&D to construct the base in the customer's mind about Hallstead Jewelers worths and vision and to avoid prospective threat of sunk cost.
Long Term Plan (1-10 years)
• Get companies with health in addition to taste factor, as the base for the Hallstead Jewelers as a company producing healthy products has been built under midterm plan and now the company might move towards taste aspect also 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 significant time to build brand-new items.
