With the deep analysis of the above options, it is advised that the company ought to pick 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 introduce brand-new and ingenious items in the market it would also lower the high expenditures on R&D under alternative 2 and increase the revenue margins. It would enable the business to increase its share costs also, as investors want to invest more in companies with substantial R&D spending and boost in the overall worth of the business.
Action and implementation Strategy
Strategy can be executed effectively by establishing certain short term along with long term plans. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Roy Rogers Restaurants need to perform numerous activities to execute its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brand names, which produce most of its earnings.
• Examine the present target market in addition to the marketplace sector which is not consist of in the company's circle.
• Examine the existing financial data to determine the quantity that needs to be spent on the R&D and acquisitions.
• Evaluate the possible financiers and their nature, i.e. do they desire long term advantages (capital gain), or the desire early earnings (dividend). It would let the business to know that just how much amount ought to be spent on R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the business has potential experience to deal with. Get most beneficial companies with a strong commitment to health, to construct the customer's perceptions in the best direction.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Roy Rogers Restaurants values and vision and to avoid prospective threat of sunk expense.
Long Term Plan (1-10 years)
• Get organizations with health in addition to taste factor, as the base for the Roy Rogers Restaurants as a business producing healthy products has actually been constructed under midterm plan and now the company could move towards taste aspect as well 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 brand-new items.
