With the deep analysis of the above options, it is advised that the company must pick the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would enable the company to not only introduce brand-new and innovative products in the market it would also reduce the high expenditures on R&D under alternative 2 and increase the profit margins. It would enable the company to increase its share prices also, as investors want to invest more in companies with significant R&D spending and increase in the total worth of the business.
Action and implementation Strategy
Technique can be executed effectively by establishing specific short term as well as long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Monsanto Leadership In A New Environment need to carry out various activities to implement its NHW strategy effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to take a look at the core selling brands, which generate most of its income.
• Evaluate the existing target market as well as the market section which is not include in the company's circle.
• Analyze the present financial information to determine the quantity that needs to be spent on the R&D and acquisitions.
• Analyze the possible financiers and their nature, i.e. do they desire long term benefits (capital gain), or the desire early profits (dividend). It would let the company to understand that how much quantity needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those organizations in which the company has prospective experience to handle. Get most favorable companies with a strong dedication to health, to develop the customer's understandings in the ideal instructions.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about Monsanto Leadership In A New Environment worths and vision and to prevent potential risk of sunk cost.
Long Term Plan (1-10 years)
• Acquire organizations with health in addition to taste element, as the base for the Monsanto Leadership In A New Environment as a company producing healthy products has actually been developed under midterm plan and now the company might move towards taste aspect also to understand 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 construct new products.
