With the deep analysis of the above alternatives, it is recommended that the company must choose the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would enable the business to not just present brand-new and innovative products in the market it would likewise minimize the high expenditures on R&D under alternative 2 and increase the profit margins. It would make it possible for the company to increase its share prices too, as financiers are willing to invest more in companies with considerable R&D costs and boost in the overall worth of the company.
Action and implementation Strategy
Strategy can be carried out efficiently by establishing specific short term in addition to long term plans. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Hong Kong Disneyland must carry out numerous activities to implement its NHW method effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which produce most of its profits.
• Evaluate the existing target market in addition to the market segment which is not consist of in the business's circle.
• Evaluate the current financial data to measure the quantity that must be spent on the R&D and acquisitions.
• Examine the possible financiers and their nature, i.e. do they want long term benefits (capital gain), or the desire early revenues (dividend). It would let the business to understand that how much quantity needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the company has prospective experience to deal with. Obtain most beneficial companies with a strong commitment to health, to develop the consumer's understandings in the right instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Hong Kong Disneyland worths and vision and to avoid potential risk of sunk cost.
Long Term Plan (1-10 years)
• Get organizations with health as well as taste element, as the base for the Hong Kong Disneyland as a business producing healthy items has actually been constructed under midterm strategy and now the company might move towards taste element as well to understand 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.
