With the deep analysis of the above options, it is recommended that the company should select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would enable the company to not just present new and ingenious items in the market it would likewise reduce the high expenses on R&D under alternative 2 and increase the profit margins. It would make it possible for the business to increase its share prices also, as investors want to invest more in business with considerable R&D spending and increase in the total worth of the business.
Action and implementation Strategy
Strategy can be executed effectively 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 plan Shareholder Activists At Friendly Ice Cream B need to perform various activities to implement its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which generate most of its profits.
• Analyze the present target audience as well as the market segment which is not consist of in the company's circle.
• Analyze the present financial data to determine the amount that ought to be spent on the R&D and acquisitions.
• Examine the prospective investors and their nature, i.e. do they want long term benefits (capital gain), or the desire early earnings (dividend). It would let the company to know that just how much quantity should be invested in R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the business has possible experience to deal with. Acquire most favorable companies with a strong dedication to health, to construct the consumer's understandings in the best direction.
• Focus more on acquisitions than R&D to develop the base in the customer's mind about Shareholder Activists At Friendly Ice Cream B worths and vision and to avoid potential threat of sunk cost.
Long Term Plan (1-10 years)
• Acquire organizations with health as well as taste factor, as the base for the Shareholder Activists At Friendly Ice Cream B as a company producing healthy items has actually been built under midterm strategy and now the business could move towards taste aspect too 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 substantial time to construct brand-new items.
