With the deep analysis of the above options, it is advised that the company should select the alternative 3 in order to keep 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 expenditures on R&D under alternative 2 and increase the profit margins. It would enable the business to increase its share rates also, as investors are willing to invest more in companies with considerable R&D spending and boost in the total worth of the business.
Action and implementation Strategy
Strategy can be implemented efficiently by developing certain short-term as well as long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Southport Minerals Inc need to perform different activities to implement 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 create most of its earnings.
• Analyze the current target audience along with the marketplace section which is not consist of in the business's circle.
• Evaluate the current financial information to measure the amount that should be spent on the R&D and acquisitions.
• Analyze the prospective financiers and their nature, i.e. do they desire long term advantages (capital gain), or the desire early revenues (dividend). It would let the company to understand that how much amount must be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those organizations in which the business has prospective experience to deal with. Acquire most beneficial organizations with a strong dedication to health, to develop the consumer's understandings in the best direction.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Southport Minerals Inc values and vision and to avoid prospective risk of sunk expense.
Long Term Plan (1-10 years)
• Get companies with health as well as taste factor, as the base for the Southport Minerals Inc as a company producing healthy products has been constructed under midterm plan and now the company could move towards taste aspect also to grasp the customers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to develop brand-new products.
