With the deep analysis of the above alternatives, it is recommended that the business 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 only introduce brand-new and innovative items in the market it would also decrease the high expenditures on R&D under alternative 2 and increase the earnings margins. It would allow the company to increase its share costs also, as financiers want to invest more in companies with considerable R&D costs and increase in the overall worth of the company.
Action and implementation Strategy
Technique can be executed effectively by developing certain short term as well as long term plans. These strategies could be as follows;
Short Term Plan (0-1 year)
• Under the short term plan Relayfoodscom need to perform various activities to execute its NHW technique efficiently. These activities are as follows;.
• Get the audit of its brand portfolio done, to take a look at the core selling brand names, which produce most of its income.
• Evaluate the present target market in addition to the market segment which is not consist of in the company's circle.
• Evaluate the current financial information to determine the quantity that needs to be invested in the R&D and acquisitions.
• Analyze the potential investors and their nature, i.e. do they desire long term advantages (capital gain), or the desire early profits (dividend). It would let the company to know that how much amount should be invested in R&D.
Mid Term Plan (1-5 years)
• Obtain those companies in which the company has possible experience to handle. Get most beneficial companies with a strong commitment to health, to construct the customer's perceptions in the best instructions.
• Focus more on acquisitions than R&D to develop the base in the consumer's mind about Relayfoodscom worths and vision and to avoid possible threat of sunk expense.
Long Term Plan (1-10 years)
• Obtain companies with health in addition to taste element, as the base for the Relayfoodscom as a business producing healthy products has been developed under midterm strategy and now the business could move towards taste element also to comprehend the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to construct brand-new products.
