With the deep analysis of the above alternatives, it is suggested that the business ought to 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 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 rates as well, as investors want to invest more in business with substantial R&D spending and boost in the overall worth of the business.
Action and implementation Strategy
Method can be implemented effectively by developing certain short term along with long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Orchid Partners A Venture Capital Start Up must carry out numerous activities to implement its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brand names, which generate the majority of its earnings.
• Evaluate the present target audience as well as the market section which is not include in the business's circle.
• Evaluate the existing financial information to measure the amount that needs to be invested in the R&D and acquisitions.
• Evaluate the possible investors and their nature, i.e. do they want long term advantages (capital gain), or the want early earnings (dividend). It would let the company to know that how much amount needs to be spent on R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the business has potential experience to deal with. Get most favorable organizations with a strong commitment to health, to build the consumer's understandings in the right instructions.
• Focus more on acquisitions than R&D to develop the base in the customer's mind about Orchid Partners A Venture Capital Start Up values and vision and to avoid possible threat of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health along with taste factor, as the base for the Orchid Partners A Venture Capital Start Up as a business producing healthy products has actually been constructed under midterm strategy and now the company might move towards taste factor also to comprehend 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 brand-new items.
