With the deep analysis of the above options, it is suggested that the company must choose the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would allow the business to not only present brand-new and ingenious products in the market it would also lower the high expenditures on R&D under alternative 2 and increase the profit margins. It would allow the business to increase its share prices too, as investors are willing to invest more in business with substantial R&D spending and increase in the total worth of the business.
Action and implementation Strategy
Technique can be executed successfully by developing particular short term in addition to long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Matrix Capital Management C must perform various activities to execute its NHW method efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brands, which generate most of its profits.
• Examine the current target audience in addition to the market section which is not consist of in the company's circle.
• Examine the current financial information to determine the amount that must be spent on 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 revenues (dividend). It would let the company to know that just how much amount should be spent on R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the business has possible experience to handle. Obtain most beneficial organizations with a strong dedication 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 consumer's mind about Matrix Capital Management C worths and vision and to avoid prospective danger of sunk cost.
Long Term Plan (1-10 years)
• Get organizations with health along with taste element, as the base for the Matrix Capital Management C as a business producing healthy products has actually been developed under midterm strategy and now the business could move towards taste element also to grasp the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the substantial time to construct new products.
