With the deep analysis of the above alternatives, it is suggested that the company should select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would enable the company to not just present new and ingenious items in the market it would also decrease the high expenditures on R&D under alternative 2 and increase the profit margins. It would allow the business to increase its share costs also, as financiers want to invest more in companies with significant R&D spending and boost in the overall worth of the business.
Action and implementation Strategy
Technique can be executed efficiently by establishing certain short-term in addition to long term strategies. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Lambda Healthcare Investors should perform numerous activities to execute its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which generate the majority of its revenue.
• Evaluate the existing target market along with the marketplace segment which is not consist of in the business's circle.
• Examine the current financial data to measure the amount that ought to be invested in the R&D and acquisitions.
• Examine the prospective investors and their nature, i.e. do they want long term benefits (capital gain), or the desire early earnings (dividend). It would let the business to understand that just how much quantity needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those organizations in which the business has prospective experience to deal with. Obtain most beneficial organizations with a strong dedication to health, to develop the consumer's perceptions in the right direction.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Lambda Healthcare Investors values and vision and to avoid prospective risk of sunk expense.
Long Term Plan (1-10 years)
• Get organizations with health along with taste element, as the base for the Lambda Healthcare Investors as a business producing healthy items has been developed under midterm strategy and now the business might move towards taste factor also to comprehend the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to develop new products.
