With the deep analysis of the above options, it is advised that the company must select the alternative 3 in order to maintain a competitive position in the long run. As the alternative 3 would make it possible for the company to not only present brand-new and innovative products in the market it would likewise lower the high expenditures on R&D under alternative 2 and increase the revenue margins. It would make it possible for the company to increase its share costs as well, as investors want to invest more in business with substantial R&D costs and increase in the overall worth of the business.
Action and implementation Strategy
Strategy can be executed successfully by establishing certain short term along with long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Western Chemical Corp Divisional Performance Measurement C need to carry out various activities to implement its NHW method efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to analyze the core selling brand names, which generate the majority of its income.
• Analyze the current target audience in addition to the marketplace section which is not include in the business's circle.
• Examine the existing financial information to measure the amount that should be spent on the R&D and acquisitions.
• Evaluate the prospective financiers and their nature, i.e. do they want long term advantages (capital gain), or the desire early profits (dividend). It would let the company to know that just how much amount ought to be invested in R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the company has potential experience to handle. Acquire most favorable companies with a strong commitment to health, to build the consumer's perceptions in the ideal direction.
• Focus more on acquisitions than R&D to construct the base in the customer's mind about Western Chemical Corp Divisional Performance Measurement C values and vision and to avoid prospective risk of sunk cost.
Long Term Plan (1-10 years)
• Obtain organizations with health as well as taste factor, as the base for the Western Chemical Corp Divisional Performance Measurement C as a business producing healthy items has been developed under midterm strategy and now the company could move towards taste aspect as well to understand the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to develop brand-new items.
