With the deep analysis of the above alternatives, it is suggested that the business needs to choose the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would allow the business to not just present brand-new and innovative products in the market it would likewise decrease the high expenses on R&D under alternative 2 and increase the profit margins. It would make it possible for the company to increase its share costs also, as financiers want to invest more in business with considerable R&D costs and boost in the overall worth of the business.
Action and implementation Strategy
Technique can be executed successfully by developing certain short-term along with long term strategies. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Note On The Caspian Oil Pipelines should perform different activities to execute its NHW method effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brand names, which generate the majority of its earnings.
• Evaluate the present target audience as well as the marketplace section which is not consist of in the company's circle.
• Analyze the current financial data to measure the quantity that should be spent on the R&D and acquisitions.
• Examine the possible financiers 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 how much quantity should be invested in R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the company has potential experience to deal with. Get most beneficial companies with a strong dedication to health, to build the consumer's perceptions in the right direction.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about Note On The Caspian Oil Pipelines values and vision and to avoid prospective danger of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health in addition to taste element, as the base for the Note On The Caspian Oil Pipelines as a business producing healthy products has actually been developed under midterm plan and now the company could move towards taste aspect as well to understand the customers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the substantial time to construct brand-new products.