With the deep analysis of the above options, it is suggested that the company ought to select 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 introduce brand-new and innovative products in the market it would likewise decrease the high expenditures on R&D under alternative 2 and increase the profit margins. It would enable the company to increase its share costs too, as investors are willing to invest more in business with substantial R&D costs and boost in the total worth of the company.
Action and implementation Strategy
Technique can be executed efficiently by establishing specific short-term along with long term strategies. These plans might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Learning When To Stop Momentum should 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 take a look at the core selling brand names, which create the majority of its profits.
• Analyze the current target audience in addition to the marketplace section which is not include in the business's circle.
• Analyze the present financial data to determine the quantity that must be invested in the R&D and acquisitions.
• Examine the prospective financiers and their nature, i.e. do they want long term benefits (capital gain), or the want early revenues (dividend). It would let the company to understand that just how much quantity must be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has prospective experience to deal with. Get most beneficial organizations with a strong commitment to health, to develop the consumer's perceptions in the ideal direction.
• Focus more on acquisitions than R&D to construct the base in the consumer's mind about Learning When To Stop Momentum values and vision and to prevent possible risk of sunk expense.
Long Term Plan (1-10 years)
• Obtain companies with health as well as taste element, as the base for the Learning When To Stop Momentum as a business producing healthy items has been built under midterm plan and now the company might move towards taste element as well to understand the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to build new products.
