With the deep analysis of the above options, it is recommended that the business needs to select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would allow the company to not just introduce brand-new and ingenious items in the market it would likewise minimize the high expenditures 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 want to invest more in companies with significant R&D spending and boost in the total worth of the company.
Action and implementation Strategy
Strategy can be implemented successfully by establishing particular short-term along with long term plans. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Thg Management Services should carry out various activities to execute its NHW method effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to examine the core selling brands, which generate the majority of its earnings.
• Examine the current target audience along with the marketplace section which is not consist of in the company's circle.
• Examine the present financial data to determine the quantity that must be spent on the R&D and acquisitions.
• Examine the potential investors and their nature, i.e. do they desire long term advantages (capital gain), or the desire early revenues (dividend). It would let the business to understand that just how much amount must be invested in R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the company has possible experience to deal with. Obtain most beneficial organizations with a strong dedication to health, to develop the client's perceptions in the ideal direction.
• Focus more on acquisitions than R&D to develop the base in the customer's mind about Thg Management Services values and vision and to avoid possible risk of sunk expense.
Long Term Plan (1-10 years)
• Obtain organizations with health as well as taste factor, as the base for the Thg Management Services as a company producing healthy items has actually been developed under midterm strategy and now the company could move towards taste aspect too to comprehend the customers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to build new items.
