With the deep analysis of the above alternatives, it is recommended that the company needs to pick the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would allow the business to not only introduce brand-new and ingenious products in the market it would also minimize the high expenses on R&D under alternative 2 and increase the profit margins. It would allow the business to increase its share rates as well, as investors are willing to invest more in business with significant R&D costs and boost in the overall worth of the company.
Action and implementation Strategy
Method can be implemented effectively by developing specific short term along with long term strategies. These plans could be as follows;
Short Term Plan (0-1 year)
• Under the short-term strategy Disc A1 Abridged should perform numerous activities to implement its NHW method efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brand names, which create the majority of its earnings.
• Analyze the existing target audience in addition to the market section which is not include in the company's circle.
• Evaluate the present financial information to determine the quantity that must be spent on the R&D and acquisitions.
• Evaluate the potential financiers and their nature, i.e. do they want long term advantages (capital gain), or the want early revenues (dividend). It would let the company to know that just how much quantity should be invested in R&D.
Mid Term Plan (1-5 years)
• Get those companies in which the business has potential experience to deal with. Acquire most favorable organizations with a strong dedication to health, to build the customer's understandings in the ideal direction.
• Focus more on acquisitions than R&D to develop the base in the customer's mind about Disc A1 Abridged values and vision and to avoid potential danger of sunk cost.
Long Term Plan (1-10 years)
• Get organizations with health as well as taste element, as the base for the Disc A1 Abridged as a business producing healthy products has actually been built under midterm plan and now the company could move towards taste factor also 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 substantial time to construct brand-new products.
