With the deep analysis of the above options, it is advised that the company must pick the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would enable the company to not only present brand-new and innovative products in the market it would also minimize the high expenses on R&D under alternative 2 and increase the profit margins. It would make it possible for the company to increase its share prices also, as financiers want to invest more in companies with considerable R&D spending and boost in the overall worth of the company.
Action and implementation Strategy
Method can be carried out efficiently by establishing particular short term along with long term strategies. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Wells Fargo Convertible Bonds should carry out different activities to execute its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brand names, which produce most of its profits.
• Examine the current target market along with the market segment which is not consist of in the company's circle.
• Evaluate the current financial information to determine the amount that should be invested in the R&D and acquisitions.
• Examine the prospective investors and their nature, i.e. do they desire long term advantages (capital gain), or the want early revenues (dividend). It would let the company to understand that just how much quantity ought to be spent on R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the company has potential experience to deal with. Get most favorable companies with a strong dedication to health, to construct the customer's understandings in the best instructions.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Wells Fargo Convertible Bonds values and vision and to avoid potential danger of sunk expense.
Long Term Plan (1-10 years)
• Obtain organizations with health in addition to taste element, as the base for the Wells Fargo Convertible Bonds as a company producing healthy items has been constructed under midterm strategy and now the company could move towards taste factor 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 considerable time to build brand-new items.
