With the deep analysis of the above options, it is advised that the company needs to choose the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would allow the business to not only present new and innovative products in the market it would also lower the high expenses on R&D under alternative 2 and increase the profit margins. It would enable the business to increase its share costs also, as investors are willing to invest more in business with significant R&D costs and increase in the total worth of the business.
Action and implementation Strategy
Strategy can be implemented efficiently by developing specific short term as well as long term plans. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Ncsoft Corporation should carry out numerous activities to implement its NHW method effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to take a look at the core selling brands, which create most of its earnings.
• Evaluate the present target market in addition to the market segment which is not consist of in the company's circle.
• Examine the existing financial information to determine the quantity that must 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 revenues (dividend). It would let the business to know that how much quantity ought to be spent on R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the business has potential experience to deal with. Get most favorable companies with a strong commitment to health, to construct the customer's understandings in the ideal direction.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Ncsoft Corporation worths and vision and to prevent prospective risk of sunk expense.
Long Term Plan (1-10 years)
• Acquire companies with health along with taste aspect, as the base for the Ncsoft Corporation as a company producing healthy products has been developed under midterm plan and now the company could move towards taste element 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 considerable time to develop new items.
