With the deep analysis of the above options, it is recommended that the company needs to choose the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would enable the business to not just introduce new and innovative products in the market it would also reduce the high expenditures on R&D under alternative 2 and increase the earnings margins. It would allow the company to increase its share prices too, as investors want to invest more in companies with substantial R&D costs and boost in the overall worth of the company.
Action and implementation Strategy
Strategy can be implemented successfully by developing specific short-term along with long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Xiaomis Globalization Strategy And Challenges ought to perform various activities to implement its NHW method effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to take a look at the core selling brand names, which generate most of its income.
• Examine the current target audience in addition to the market section which is not consist of in the business's circle.
• Evaluate the current financial information to measure the quantity that should be spent on the R&D and acquisitions.
• Evaluate the possible investors and their nature, i.e. do they desire long term benefits (capital gain), or the desire early earnings (dividend). It would let the business to know that how much amount must be invested in R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the company has prospective experience to deal with. Acquire most beneficial organizations with a strong dedication to health, to develop the consumer's perceptions in the best instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Xiaomis Globalization Strategy And Challenges worths and vision and to avoid possible danger of sunk expense.
Long Term Plan (1-10 years)
• Get companies with health as well as taste aspect, as the base for the Xiaomis Globalization Strategy And Challenges as a company producing healthy items has been built under midterm plan and now the company might move towards taste aspect too to understand the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to construct brand-new products.
