With the deep analysis of the above alternatives, it is recommended that the company needs 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 new and innovative items in the market it would also lower the high expenses on R&D under alternative 2 and increase the earnings margins. It would allow the company to increase its share rates as well, as financiers are willing to invest more in business with considerable R&D costs and increase in the total worth of the business.
Action and implementation Strategy
Method can be executed successfully by establishing certain short-term in addition to long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Star Tv A should carry out different activities to execute its NHW method effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brand names, which create the majority of its revenue.
• Analyze the present target market as well as the marketplace segment which is not consist of in the business's circle.
• Examine the current financial data to determine the quantity that should be spent on the R&D and acquisitions.
• Examine the prospective investors and their nature, i.e. do they want long term advantages (capital gain), or the want early revenues (dividend). It would let the business to know that how much amount needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those organizations in which the business has possible experience to handle. Obtain most beneficial companies with a strong dedication to health, to develop the customer's understandings in the right instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Star Tv A worths and vision and to avoid possible danger of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health as well as taste aspect, as the base for the Star Tv A as a business producing healthy items has been constructed under midterm strategy and now the company could move towards taste aspect too to understand 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 new products.
