With the deep analysis of the above options, it is advised that the company needs to select the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would enable the company to not only present new and innovative products in the market it would likewise minimize the high expenses on R&D under alternative 2 and increase the revenue margins. It would make it possible for the company to increase its share rates also, as investors are willing to invest more in business with considerable R&D costs and boost in the total worth of the company.
Action and implementation Strategy
Method can be executed efficiently by establishing specific short-term in addition to long term plans. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Buckeye Power And Light Company need to carry out various activities to implement its NHW method effectively. These activities are as follows;.
• Get the audit of its brand name portfolio done, to examine the core selling brand names, which create the majority of its earnings.
• Analyze the current target audience in addition to the marketplace section which is not include in the company's circle.
• Analyze the present financial data to measure the quantity that ought to be spent on the R&D and acquisitions.
• Evaluate the prospective investors and their nature, i.e. do they want long term advantages (capital gain), or the want early earnings (dividend). It would let the business to know that how much quantity should be invested in R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the business has prospective experience to handle. Obtain most favorable companies with a strong dedication to health, to construct the client's perceptions in the best direction.
• Focus more on acquisitions than R&D to construct the base in the customer's mind about Buckeye Power And Light Company worths and vision and to prevent prospective threat of sunk cost.
Long Term Plan (1-10 years)
• Obtain companies with health along with taste element, as the base for the Buckeye Power And Light Company as a company producing healthy items has actually been developed under midterm plan and now the company might move towards taste element as well to grasp the consumers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the substantial time to build new items.
