With the deep analysis of the above alternatives, it is advised that the business ought to pick the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would make it possible for the company to not just present brand-new and innovative items in the market it would likewise minimize the high expenses on R&D under alternative 2 and increase the earnings margins. It would enable the business to increase its share costs also, as financiers are willing to invest more in companies with substantial R&D costs and increase in the overall worth of the business.
Action and implementation Strategy
Method can be carried out effectively by developing particular short term as well as long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan University Of Trent should carry out different 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 brand names, which generate the majority of its revenue.
• Examine the existing target audience as well as the market section which is not consist of in the company's circle.
• Evaluate the current financial data to determine the amount that should 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 profits (dividend). It would let the company to know that how much amount ought to be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the company has potential experience to handle. Obtain most favorable companies with a strong dedication to health, to construct the consumer's perceptions in the ideal direction.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about University Of Trent values and vision and to avoid possible danger of sunk cost.
Long Term Plan (1-10 years)
• Obtain organizations with health in addition to taste element, as the base for the University Of Trent as a company producing healthy products has been built under midterm strategy and now the business could move towards taste factor as well to comprehend the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to build brand-new items.
