With the deep analysis of the above options, it is recommended that the company ought to pick the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would allow the business to not only introduce brand-new and innovative items in the market it would also lower the high expenses on R&D under alternative 2 and increase the revenue margins. It would allow the business to increase its share costs as well, as financiers are willing to invest more in companies with significant R&D costs and increase in the overall worth of the company.
Action and implementation Strategy
Strategy can be implemented effectively by establishing specific short term in addition to long term plans. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Note On The Reinsurance Industry should perform different activities to execute its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to analyze the core selling brands, which generate the majority of its revenue.
• Examine the present target audience as well as the market section which is not include in the business's circle.
• Analyze the current financial data to measure the amount that needs to be invested in the R&D and acquisitions.
• Examine the possible financiers and their nature, i.e. do they desire long term advantages (capital gain), or the want early profits (dividend). It would let the business to understand that how much amount should be invested in R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the business has prospective experience to handle. Obtain most favorable organizations with a strong dedication to health, to construct the client's perceptions in the right instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Note On The Reinsurance Industry values and vision and to prevent prospective danger of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health as well as taste aspect, as the base for the Note On The Reinsurance Industry as a company producing healthy products has been constructed under midterm plan and now the business could move towards taste factor as well to understand the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to build new items.
