With the deep analysis of the above alternatives, it is recommended that the business ought to choose the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would enable the company to not just present brand-new and innovative products in the market it would likewise reduce the high expenses on R&D under alternative 2 and increase the revenue margins. It would allow the business to increase its share rates too, as investors are willing to invest more in business with significant R&D spending and boost in the overall worth of the business.
Action and implementation Strategy
Strategy can be carried out successfully by establishing particular short-term as well as long term strategies. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short-term plan Pret A Manger ought to perform numerous activities to implement its NHW strategy 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 produce the majority of its revenue.
• Evaluate the existing target audience along with the marketplace segment which is not consist of in the business's circle.
• Evaluate the present financial data to measure the quantity that ought to be invested in the R&D and acquisitions.
• Evaluate the potential investors and their nature, i.e. do they desire long term advantages (capital gain), or the desire early earnings (dividend). It would let the company to understand that just how much amount ought to be spent on R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the company has possible experience to handle. Acquire most beneficial organizations with a strong commitment to health, to develop the consumer's understandings in the ideal instructions.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Pret A Manger values and vision and to avoid possible threat of sunk expense.
Long Term Plan (1-10 years)
• Obtain organizations with health in addition to taste element, as the base for the Pret A Manger as a company producing healthy products has been developed under midterm strategy and now the business might move towards taste factor as well to comprehend 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 construct new products.
