With the deep analysis of the above options, it is suggested that the company must pick the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would enable the company to not just introduce new and ingenious items in the market it would likewise lower the high expenses on R&D under alternative 2 and increase the profit margins. It would make it possible for the business to increase its share prices also, as financiers want to invest more in companies with considerable R&D costs and boost in the overall worth of the business.
Action and implementation Strategy
Method can be implemented successfully by establishing particular short-term in addition to long term strategies. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Kanpur Confectioneries Private Limited B should carry out numerous activities to implement its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brands, which create the majority of its income.
• Analyze the existing target audience along with the market section which is not include in the company's circle.
• Analyze the current financial information to measure the amount that needs to 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 just how much amount ought to be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has possible experience to deal with. Acquire most favorable organizations with a strong commitment to health, to construct the consumer's perceptions in the ideal instructions.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Kanpur Confectioneries Private Limited B values and vision and to avoid potential danger of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health as well as taste aspect, as the base for the Kanpur Confectioneries Private Limited B as a company producing healthy products has actually been developed under midterm strategy and now the company could move towards taste element also 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 considerable time to construct brand-new products.
