With the deep analysis of the above alternatives, 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 make it possible for the business to not just introduce 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 make it possible for the business to increase its share rates as well, as financiers want to invest more in business with significant R&D spending and increase in the total worth of the business.
Action and implementation Strategy
Strategy can be implemented efficiently by developing specific short term in addition to long term strategies. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Microsoft Corp need to perform numerous activities to implement its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brand names, which create most of its earnings.
• Evaluate the present target market along with the market sector which is not include in the business's circle.
• Evaluate the present financial information to determine the amount that needs to be spent on the R&D and acquisitions.
• Examine the prospective financiers and their nature, i.e. do they desire long term advantages (capital gain), or the desire early earnings (dividend). It would let the business to know that how much amount should be spent on R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the company has prospective experience to handle. Acquire most favorable companies with a strong commitment to health, to develop the customer's perceptions in the right direction.
• Focus more on acquisitions than R&D to construct the base in the customer's mind about Microsoft Corp values and vision and to prevent possible threat of sunk expense.
Long Term Plan (1-10 years)
• Obtain organizations with health along with taste factor, as the base for the Microsoft Corp as a company producing healthy items has been developed under midterm strategy and now the business could move towards taste aspect too to grasp the consumers, 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.
