With the deep analysis of the above options, it is suggested that the business must choose the alternative 3 in order to preserve 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 ingenious products in the market it would also reduce the high expenses on R&D under alternative 2 and increase the earnings margins. It would allow the business to increase its share prices also, as financiers are willing to invest more in business with considerable R&D spending and increase in the overall worth of the business.
Action and implementation Strategy
Technique can be executed successfully by establishing certain short term along with long term plans. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Baltic Beverages Holding Competing In A Globalizing World A ought to perform numerous activities to execute its NHW strategy effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brands, which produce the majority of its profits.
• Examine the current target market along with the market section which is not consist of in the business's circle.
• Examine the existing financial information to measure the quantity that ought to be spent on the R&D and acquisitions.
• Evaluate the possible financiers and their nature, i.e. do they desire long term advantages (capital gain), or the want early earnings (dividend). It would let the business to understand that just how much amount needs to be spent on R&D.
Mid Term Plan (1-5 years)
• Obtain those organizations in which the company has potential experience to deal with. Obtain most favorable organizations with a strong dedication to health, to develop the customer's perceptions in the best instructions.
• Focus more on acquisitions than R&D to build the base in the customer's mind about Baltic Beverages Holding Competing In A Globalizing World A worths and vision and to avoid possible danger of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health along with taste factor, as the base for the Baltic Beverages Holding Competing In A Globalizing World A as a business producing healthy products 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 instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the considerable time to build new products.
